Global Markets Surge Amid U.S.-Vietnam Trade Talks and Rate Cut Anxiety

World shares achieved new record highs as a deal between the United States and Vietnam boosted investor confidence ahead of crucial U.S. jobs data. Meanwhile, Britain's bond market saw a slow recovery after previous volatile sessions, linked to uncertainty surrounding finance minister Rachel Reeves.

Financial markets were closely monitoring the impending U.S. payrolls report, crucial for influencing Federal Reserve's potential interest rate changes. Analysts forecast an increase in job numbers, though unexpected declines in private sector payrolls heightened the stakes. Upcoming U.S. policy decisions, coupled with geopolitical trade talks, notably with Vietnam, remain focal points for investors.

Elsewhere, President Trump's recent fiscal policies, including a hefty prospective U.S. tax and spending bill, posed potential risks, particularly regarding national debt increases. Global trade negotiations highlighted ongoing challenges, with the world's financial landscape navigating through complex tariffs and regulatory changes.

(With inputs from agencies.)