Earnings and Trade Optimism Spreads, Boosting Risk Assets
Risk-sensitive assets are looking buoyant this morning as perceived tail risks recede and investors turn more optimistic on the direction of global growth. The US dollar is up slightly, Treasury yields are inching higher, and major American stock indices are climbing ahead of the North American open after series of strong corporate earnings releases in recent days, coupled with a drumbeat of trade deal reports, helped allay fears of a more severe downturn in the US and world economies. The euro is holding firm after the European Central Bank left rates unchanged and avoided telegraphing its next moves, leaving market...