Published: Wed, January 02, 2019
Business | By Eloise Houston

Xi tells Trump cooperation best for both countries

Xi tells Trump cooperation best for both countries

It's the index's worst performance since the global financial crisis, and a sharp reversal from a gain of almost 25% in 2017. The S&P 500 posted tiny losses in 2011 and 2015, but eked out small gains in both years once dividends were included.

The Shanghai Composite entered a bear market in June and has now declined almost 25% since the start of the year.

During the Cold War in the late 20th century, with the United States pitted against the Soviet Union, Washington sought cooperation with China, believing that the Asian communist country would liberalize its economy and open its market further.

The most actively traded soybean futures contract averaged $8.75 per bushel from July to December 2018, down from an average of $9.76 during the same period a year earlier.

The trade talks cap off a year of increasing tensions between the world's two main superpowers.

After a strong January, Wall Street was challenged for much of 2018 by tariff disputes, rising interest rates, and fears of diminishing corporate profits. Then the jitters set in.

China's tariffs improved margins for USA soy crushers such as Archer Daniels Midland Co (ADM.N) by leaving plentiful supplies of cheap soybeans on the domestic market. -China dispute after Canadian authorities arrested Huawei chief financial officer Meng Wanzhou in Vancouver on December 1 - the same day as the G20 meeting between Mr. Trump and Mr. Xi. The following day on Twitter he proclaimed that 'trade wars are good, and easy to win'.

One measure of market volatility is the intraday swings in stock prices. USA crude closed up slightly Monday but ended the year down 24.9% at $45.41 a barrel. Hong Kong's Hang Seng advanced 1.3 percent while the Sensex in India added 0.3 percent. Britain's FTSE 100 closed down 0.1 percent at 6,728.13 for an annual loss of 12.5 percent. The Dow finished at negative 5.97 percent for the year. The yield on the 10-year Treasury note held steady at 2.73 per cent.

Healthcare .SPXHC and tariff-sensitive technology .SPLRCT stocks, led by Boeing Co and Caterpillar Inc, provided the biggest boost to the S&P 500 on Monday.

All 11 major sectors in the S&P 500 ended the session in positive territory.

To compensate suffering farmers, the US government has allocated about $11 billion to direct payments and buying agricultural goods for government food programs, after consulting economists, including Tyner.

Tariffs ended up raising costs for American companies.

Bilateral trade and investment have risen rapidly over the past 40 years. USA crude settled up 8 cents, or 0.18 percent, at $45.41 a barrel. Brent crude, the benchmark for global prices, gained 97 cents to $54.19 per barrel.

Since President Trump and Chinese President Xi Jinping met in Buenos Aires on December 1, Beijing has pledged to cut tariffs, buy more USA goods and services, ease restrictions on foreign companies operating in China and further open sectors for foreign investment. If made, it will be very comprehensive, covering all subjects, areas and points of dispute.

Trump said great progress has been made in the development of the bilateral ties.

On Sunday, Chinese Foreign Ministry spokesman Lu Kang said China stands ready to work with the US to move forward China-US ties underpinned by coordination, cooperation and stability.

The two countries are now engaged in a truce in their bitter trade war, holding talks to try and end a dispute that has seen them level increasingly severe tariffs on each others' imports.

In other trading, the dollar fell to 109.63 yen from 110.41 yen on Friday. The euro weakened to $1.1439 from $1.1442.

Like this: