OPINION: Financial markets remain bullish in new year
More optimism around subsiding world risks prevailed after US President Donald Trump’s speech explaining the US confrontation with Iran and the seemingly subdued retaliation by Iran after the blunder around the shooting down of the Ukraine plane by the Iranian forces.
This was followed by the signing of the first-round trade pact between the US and China last week and more positive sentiment that the Brexit deal will lead to a more stabilised Europe, with higher expected growth.
The news last Thursday that the Chinese recorded a slower growth rate of 6percent during the fourth quarter of 2019 and 6.1percent for the year as a whole was as expected, with optimism of a recovery, given signs of an end of the trade war, that the Chinese economy will lift its growth in 2020.
Strong increases in investment expenditure the previous quarter ignited the positive sentiment.
Source: iol.co.za