World stocks rally to six-month highs on US-China trade optimism By Reuters

By Dhara Ranasinghe

LONDON (Reuters) – The world's stocks came to six-month highs on Wednesday as investors cheered signs of progress in trade negotiations in the US and China and soothing economic data. and helps push Germany's 10-year bond yield back to zero percent.

Sterling approached the $ 70 key per barrel mark ̵[ads1]1; a multi-month high supply requirement.

Sterling expanded its winnings after Britain's Prime Minister Theresa May said on Tuesday that she would seek another Brexit delay to agree on EU divorce handling the opposition Labor Party leader and hoping for a "softer" Brexit.

Signs of progress in trade negotiations in the US and China and decent factory activity data from China and the United States in recent days has lifted investor's feelings and

Europe's stock markets rose nearly 0.8 percent to the highest since August, tracking strong overnight gains in Asia where MSCI's widest index of Asia-Pacific stocks outside Japan climbed to a peak of seven months.

Hoping a deal to end the trade war between the world's two largest economies was flaked by fresh comments from White House's financial advisor Larry Kudlow as Washington expects to "make more progress" in negotiations this week.

"We" We are told that we are 90 percent of the way where it is obviously encouraging, but the last 10 percent – which apparently includes the enforcement mechanism and the removal of tariffs – can take some time to wipe out, says Craig Erlam, senior market analyst at Oanda in London.

"Investors are happy to be patient here in the hope that the two sides get this right and an end to a trade crisis that has clearly taken its toll on markets."

Germany's stock market rose 1 percent to its highest level since October, while French stocks in Paris slipped a similarly high. The stronger tone of the pound, but weighed on the London index, which was slightly lower.

Globally strong stocks and hopes for a softer Brexit triggered a provision in safe government bonds, pushing returns from recent declines.

increased nearly 4 basis points to 2.52 percent.

Germany's benchmark 10-year German Bund yield rose to 0.005 percent. A week ago, there was a low level of 2-1 / 2 years of around minus 0.09 percent worrying about the weak growth in economic growth.

"What we see is that markets have climbed a world of concern, but there is progress in trade, it is not likely that it is a recession, central banks have nodded to a more miserable policy," said Chris Bailey, European strategist at Raymond James, "If you put it into the mix, I'm not surprised, risk benefits have shifted up."

Oil prices were close to months high among supply concerns, rising to as high as $ 69.92 a barrel, the Highest since November and close to the psychologically important level of $ 70 a barrel.

It was last up 0.6 percent at $ 69.80 The US West Texas Intermediate (WTI) tube rose 0.34 percent to $ 62, 79 per barrel.

News that the United States is considering several sanctions against Iran, the fourth largest producer of the Oil Company Organization (OPEC), and limiting production at a crude terminal in Venezuela threatened to push the supply and pushed up oil prices on Tuesday. 19659020] BREXIT ROLLER COAS TER

Sterling stepped further as traders welcomed the news that Britain's May would start participating in the party's opposition party party as a signal that Britain would end up with a "softer" exit from the EU.

Pound strengthened 0.4 percent higher at $ 1.3196, the highest since March 28. The British currency had gone below $ 1.30 on Friday on increasing fear of a no-deal Brexit.

The dollar strengthened 0.2 percent against the yen to 111.54 and the euro dropped 0.1 percent to buy $ 1.11270.

Whoever tracks the greenback against a basket of six major rivals, eased 0.19 percent to 97,176.

Cryptocurrency bitcoin, which increased 18.7 percent on Tuesday after a large order from an anonymous buyer, expanded its winnings by another 1.6 percent to $ 4,977.48.

dipped 0.08 percent to trade at $ 1,291.31 per ounce.