Global stocks edged higher Friday, lifting benchmarks around the world into solid five-day gains, as investors reacted to slow but steady progress in U.S.-China trade talks and prepped for a key reading on job creation in the world's biggest economy.
Trade officials from Beijing will continue meetings in the White House today following a press briefing Thursday during which President Donald Trump suggested both hopes of a near-term deal with China and the prospect of added tariffs or restrictions if an agreement couldn't be reached. Nonetheless, his reference to a four-week period during which negotiations will continue, and the suggesting of a summit with Chinese leader Xi Jingping thereafter, at least allowed investors to extend risk-asset bets on the assumption that the on-again, off-again negotiations haven't completely collapsed.
"We're getting very close to making a deal. That doesn't mean a deal is made, because it's not, but we're certainly getting a lot closer," Trump told reporters in the Oval Office Thursday. "And I would think with, oh, within the next four weeks or maybe less, maybe more, whatever it takes, something very monumental could be announced."
Stocks in Asia were little-changed in overnight trading, with the region-wide MSCI ex-Japan benchmark slipping 0.07% despite solid 1% advances for markets in China, where the Shanghai Composite extended its year-to-date advance past 30% at the close of trading Thursday, and Japan's Nikkei 225 rose 0.38% to 21,807.50 points on Friday.
U.S. equity futures were also on the rise, although gains were modest ahead of today's crucial March non-farm payroll report, which is expected to show U.S. employers added a net 180,000 new jobs last month, even as average hourly wages slow to around 0.3% in a tight labor market where 7.6 million jobs remain unfilled around the country.
Contracts tied to the Dow Jones Industrial Average are suggesting a 35 point advance for the 30-stock benchmark, while those linked to the broader S&P 500, which is trading less than 2% from its all-time high, are indicating a 3.5 point gain.
European markets were also cautiously higher Friday, with the Stoxx 600 benchmark rising 0.05% by mid-day of trading as investors focused on today's U.S. jobs report and the U.S.-China trade talk progress following a grim week for economic data from German and concerns that a failure in the talks could lead to reprisals on European made goods in the months ahead.
Global oil prices, however, drifted modestly lower after touching five months highs in early overnight trading, with investors citing a complex backdrop of record U.S. production rates of 12.2 million barrels per day and a surge in U.S. stockpiles against uncertain global demand and the ongoing impact of OPEC-lead production cuts, which are taking 1.2 million barrels of crude from the market each day.
Brent crude contracts for June delivery, the global benchmark for oil prices, were marked 21 cents lower from their Thursday close in New York and changing hands at $69.19 per barrel while WTI contracts for May delivery were seen 3 cents lower at $62.07 per barrel.