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Home / Business / This chart shows the largest single driver for the Dow (not Trump).

This chart shows the largest single driver for the Dow (not Trump).



After days of trade war, a wave of optimism has spread to global markets after the first day of negotiation between the US and China.

President Donald Trump said the talks are "going very well" and he plans to meet Chinese Vice Premier Liu He on Friday.

After the deescalation in one conflict, the escalation followed in another.

Iran said one of its oil products tankers were hit by two missiles off the coast of Saudi Arabia, leading to a rise in crude oil prices.

However, our day pass indicates that the Federal Reserve will continue to run regardless of geopolitical tensions and global insecurity.

Merrill Lynch of the Bank of America highlighted a particularly turbulent period of American history between 1

968 and 1976, which included the Vietnam War, the end of the Bretton Woods monetary system, an oil crisis, and the impeachment of Nixon.

Despite all this, the BAML said the Dow was "slavishly following the Fed's path – easing led to rallies and tightening measures to make corrections."




The Bank's Global Investment Strategies Team Announced Strong Returns In 2019, they were driven by the Fed easing and bond bubble.

They remained optimistic until 2020 when the European Central Bank resumed quantitative easing (bond buying) and the Fed resumed buying treasury (T-Bills) as "unofficial QE".

"If Greece can successfully auction negative-yielding T-Bills, we see no reason why the S & P 500 bull market, which started at 666 [in March 2009]could not end in overshooting to 3333." "BAML said.

Extreme liquidity policy and bearish investors hold the bank" contrarian bullish "next year, it said.

The Market

After the Dow Jones Industrial Average

DJIA, + 0.57%

ended Dow Futures on Thursday with a 150-point lead

YM00, + 0.99%

and S & P 500 futures are in plus

ES00, + 1.00%

and Nasdaq

NQ00, + 1,11%

Oil

CL00, + 1.55%

rose 1.5% after Iran claimed that one of its tankers had been hit by a rocket in the Red Sea. Gold is in the up and down trend of the dollar.

European stocks

SXXP, + 1.69%

while Asian markets are gaining ground

ADOW, + 1.36%

rose sharply due to new optimism in the retail sector.

The buzz

Oil has been re-focused after an Iranian tanker reportedly hit by two missiles off the coast of Saudi Arabia, raising crude oil prices by 2%.

United States. President Donald Trump created a new wave of world market optimism and insisted that trade talks with China "go very well."

Amazon presented its position on a number of hot topics and made clear that cooperation with energy companies and the US will continue US government.

The board of directors of French automaker Renault has voted against CEO Thierry Bollore, who replaced Carlos Ghosn, who is accused of falsifying financial reports for low compensation and breach of trust. Ghosn, who led the Nissan Renault Alliance, is currently awaiting trial and denying wrongdoing.

The British pound continued to rise, reaching $ 1.25 as hopes for a short-term Brexit deal were raised. European Council President Donald Tusk said he received "positive signals" from Irish head of state Leo Varadkar following his meeting with British PM Boris Johnson on Thursday.

The shares of German business software giant SAP rose after positive results and the news that CEO Bill McDermott resigned on Thursday.

The Tweet

Steve Kerr, coach of the Golden State Warriors, caused a stir after contemplating the NBA controversy in China.

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