Will ECB, Fed and Trump's tweets sap market optimism?

STOCKS rose last week as traders bet that central-bank action and a trade stalemate between the US and China will be enough to keep the world out of recession.

The newfound optimism and the gains could be tempered this week by the outcome of the European Central Bank (ECB) meeting, speeches from Fed officials or US President Donald Trump's tweets.

The biggest gains last week came last Thursday after reports that the US and China would resume trade negotiations in Washington in October. But most observers are sceptical that the two sides can bridge the gap on the most divisive issues, including cyber espionage charges against Huawei and tariffs.