Portugal Colonial - Stocks rally as traders cheer Trump-Xi meeting plan

The gains came as the surge in oil prices sputtered, having seen huge rises over the previous two days on news that Washington had imposed sanctions on two Russian crude giants in a bid to bring an end to the Ukraine war.

Equities have endured a volatile period after the US president sparked fresh trade war fears two weeks ago by threatening to hit Beijing with 100 percent tariffs over its recent controls on rare-earth minerals, sparking tit-for-tat measures.

However, the row has calmed down since then, soothing nerves, and on Thursday White House Press Secretary Karoline Leavitt announced Trump would meet his Chinese counterpart on October 30, on the sidelines of the APEC summit in South Korea.

"I think we're going to come out very well and everyone's going to be very happy," Trump said later Thursday regarding his sit-down with Xi.

The face-to-face will be the first since Trump returned to power in January.

China's commerce minister Wang Wentao provided an extra sense of optimism Friday by telling reporters that the two sides "can find ways to resolve each other's concerns".

That came as a new round of trade talks between high-level officials from both countries got underway in Malaysia.

Equity traders gave big cheer to the news, with all three main indexes on Wall Street finishing well up and pushing back towards records.

And Asia was happy to pick up the baton.

Tokyo climbed more than one percent, while Hong Kong, Shanghai, Seoul, Singapore, Bangkok and Indonesia were also in positive territory, though Sydney, Manila and Mumbai fell.

London, Paris and Frankfurt opened with gains.

Tech firms were again among the best performers, helped by a strong revenue forecast from US giant Intel Corp.

Oil prices edged down slightly after soaring around eight percent this week following Trump's decision to hit Russia's two largest oil companies, Rosneft and Lukoil, saying his peace talks with President Vladimir Putin were not going "anywhere".

The move was joined by another round of measures by the European Union as leaders try to pressure Moscow to end its three-and-a-half-year invasion of Ukraine.

According to industry analysts, the two companies account for just over half of Russia's oil output, and both also produce natural gas.

While observers said the move could tip the crude market into a deficit next year, they warned the impact depended on the effectiveness of enforcement.

"Seeing is believing here," said National Australia Bank's Ray Attrill.

"While the news has seen Brent crude rise from $63 to $66 a barrel (and from $61 at the start of the week), the reality is likely to be that Russian oil will before too long continue to be exported in similar quantities as now, via ever-circuitous routes and elaborate disguises."

Investors are now keenly awaiting the release later in the day of US consumer price data, which has been delayed by the government shutdown in Washington.

But while the reading will be closely watched for its implications for Federal Reserve policy, markets widely expect the central bank to cut interest rates again when it meets next week.

- Key figures at around 0715 GMT -

Tokyo - Nikkei 225: UP 1.4 percent at 49,299.65 (close)

Hong Kong - Hang Seng Index: UP 0.7 percent at 25,150.80

Shanghai - Composite: UP 0.7 percent at 3,950.31 (close)

London - FTSE 100: UP 0.1 percent at 9,590.25

West Texas Intermediate: DOWN 0.7 percent at $61.39 per barrel

Brent North Sea Crude: DOWN 0.7 percent at $65.54 per barrel

Euro/dollar: DOWN at $1.1612 from $1.1615 on Thursday

Pound/dollar: DOWN at $1.3329 from $1.3323

Dollar/yen: UP at 152.94 from 152.60 yen

Euro/pound: DOWN at 87.12 pence from 87.18 pence

New York - Dow: UP 0.3 percent at 46,734.61 (close)

O.Gaspar--PC