11 June 2019 : Asian stocks advanced on Tuesday, while US and European equities are poised for more gains, even as heightened trade tensions and persistent concerns over global growth test risk sentiment.

Global equity bulls seem unfazed by US President Donald Trump threatening the possibility of heightened tariffs on Chinese imports, should his meeting with President Xi Jinping fail to materialize at the G20 summit later this month.

The unrelenting pursuit for more gains seen in equity markets suggests that traders may be sharing Trump’s optimism over the prospects of a US-China trade deal happening by end-June. It remains to be seen whether the latest trade-related rhetoric from the Trump administration will prove to be another disappointment, as markets have grown accustomed to, or whether risk appetite will hold up.

Market sentiment is likely to remain highly sensitive to trade-related developments, concerns over deteriorating global economic growth, as well as the likelihood of a Fed rate cut, which could ramp up market volatility in the interim leading up to the G20 event risk.

Reporting for EasyKobo on Tuesday , 11 June 2019 in Lagos, Nigeria

Source:Lukman Otunuga, FXTM Research Analyst