Futures gain on China stimulus, tariff relief

Futures gain on China stimulus, tariff relief

Reuters June 11 (Reuters) – U.S. stocks were set to edge back toward record territory on Tuesday, as signs of more fiscal stimulus from China and some easing of last week’s tensions around Mexico buoyed investors’ appetite for risk. Equity index futures were higher across the board in a signal that Wall Street’s week-long recovery from a 6% loss in May appeared intact. Investors, worried by the prospect that President Donald Trump’s hard bargaining on trade with Beijing and others could drive the economy back into recession, remained on edge after a U.S. pivot back on its tariff threat against China overnight. Trump said late on Monday he was ready to impose another round of tariffs on Chinese imports if there was no progress in talks with Chinese President Xi Jinping at the G20 summit. Trump has said he expects to meet Xi at a June 28-29 summit in Osaka, Japan, although China has yet to confirm any such meeting. Meanwhile, China helped drive a rally in Asian and European shares by saying it would allow local governments to use proceeds from special bonds for major investment projects in a bid to support its slowing economy. The news also lifted U.S.-listed shares of Alibaba Group Holdings , JD.com Inc and Baidu Inc , which rose between 1.9% and 2.1% in premarket trading . The marquee FAANG group of stocks – Facebook Inc , Apple Inc , Amazon.com Inc , Netflix Inc and Alphabet Inc – climbed between 1% and […]

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