World stocks extend gains sparked by Trump tax cut vow
HONG KONG — World stock markets mostly kept rising on Friday after U.S. President Donald Trump promised he would soon cut taxes for businesses.
KEEPING SCORE: Germany’s DAX added 0.3 per cent to 11,678 and France’s CAC 40 was flat at 4,825. Britain’s FTSE 100 climbed 0.3 per cent to 7,252. Greece’s stock market was up 2.5 per cent as its creditors met to find a way to ease concerns about the future of its bailout program. U.S. benchmarks were poised to rise, with both Dow and S&P 500 futures gaining 0.1 per cent.
TRUMP ON TAXES: In a meeting with airline and airport executives, Trump vowed to roll back government regulations and said he would announce a plan in the next three weeks to reduce taxes for businesses. The comments were short on details, but encouraged investors who have been waiting to see how Trump follows through on campaign promises to boost economic growth.
THE QUOTE: “Ever since his victory in November, global stock markets have been steered by actions and rhetoric emanating from the new commander-in-chief,” said Nicholas Teo of KGI Securities. “The trigger event of last night’s jump clearly shows the willingness of the markets to give the man lots of ‘slack’, extending Mr. Trump more time to execute his election promises.”