BEFORE THE BELL: Global stocks flourishing as China helps ease trade war fears; Loonie boosted by positive business outlook
World stocks are gaining as investor confidence grows and trade war fears ease. China’s president has helped this growth by announcing willingness to lower tariffs on autos imported from the US. Many automakers like Ford and Chrysler have seen gains between 1.5 and 2 per cent following this news. The MSCI or global stock indicator also gained a quarter of a percent.
The Loonie has been growing as well following a report from the Bank of Canada on business outlook. The Canadian currency is up to 78.86 cents US after news that businesses nationwide are overall feeling confident in Canada’s economy. This will play into the Bank of Canada’s decision on the national interest rate coming next week.
And as trade war fears ease, energy stocks are bouncing back. Oil is gaining this morning as the price of crude climbs to 64.22 a barrel.