The Dollar was seen falling on headlines out on December 01 that the USA would proceed with implementing tariffs on China if no "phase 1" deal had been reached by December 15.
Another survey yesterday of smaller firms also showed a better-than-expected pick-up in factory activity. American farmers have been hit hard by the ongoing trade war, with President Trump in November demanding that China buy up to $50 billion in USA agricultural products per year.
Conway told reporters that phase one deal was still being written up.More news: Overall Pisa improvement for Malaysia
In early trade, Hong Kong and Shanghai both rose 0.4 percent, while Sydney added 0.5 percent and Seoul gained 0.3 percent. The Pound-to-Dollar exchange rate was quoted at 1.2923 at the time of writing, 0.10% higher on the day.
But Singapore, Wellington and Bangkok fell.
"This would appear to be a welcome respite to what has been an very bad year for the manufacturing sector, which has to all intents and purposes been in recession for most, if not all, of this year".More news: Roger that: Federer's face to be minted on Swiss coin
An article in the Global Times, which is the mouthpiece of China's ruling communist party, indicated that no progress has been made in getting China to back off on its demand that the Trump administration surrender to its tariff-repeal demands. It also said leaders wanted tariffs lined up for December 15 to be taken off the table. "We may see a lot of money managers locking in their gains for the year because they've done very, very well".
"It is now becoming more apparent why the talks have dragged on so long".
The trade war has caused all sorts of problems, not just because of the higher tariffs themselves, but also because of adjustments markets have to make in response to the tariffs, said a U.S. economist. That is the first reading above 50 since April, indicating an expansion in output.More news: Kendall Jenner's Alleged Home Intruder Arrested For Trespassing
But AxiTrader's Stephen Innes said that while the headline figure "might provide some initial price support, it might not be a huge swing factor since Russian Federation at this time seems set against (a cut) in favour of stricter compliance".