Wall Street futures pointed to a big lift when US markets open tonight.
The US had been scheduled to increased tariffs on US$200 billion worth of Chinese goods from January 1, but that's now been paused.
The summit didn't resolve the big geopolitical issues between the superpowers but it was politically expedient for both leaders.
October and November were ugly for global markets - both in the US and Asia.
Asian markets and the big US tech stocks had both fallen into "bear" territory - down more than 20 per cent.
The major US indices erased almost all their gains for the year.
In China, consumer confidence has fallen and there was growing concern that the economic growth is slowing faster than expected - even before the first round of tariffs started to bite in November.
The pause in trade hostilities follows hints last week that the US Federal Reserve may pause its cycle of interest rate hikes next year.
Rising rates is something that is also weighing heavily on market sentiment with US Fed expected to hike again in December.
But language in a speech by Fed Chair Jerome Powell last week suggested they may be nearing the peak for some time. That has markets predicting just one more hike next year.
The combination of factors will buoy investors short term. However, with market volatility at extreme highs, the slightest shift in either the global political environment or the rate outlook could still spark a dramatic turnaround.
On the NZX yesterday, exporter A2 Milk rose 5.4 per cent to $10.91 on slightly higher than average volumes after saying it will meet China's new cross-border e-commerce requirements affecting its sales of Platinum infant formula.
Government officials extended the grace period to let foreign firms comply by March 31 next year.
Pushpay Holdings, which relies on North American markets, increased 0.6 per cent to $3.32 on average volumes, although exporter Fisher & Paykel Healthcare fell 0.4 per cent to $13.25 in light trading.
Courier and document management firm Freightways increased 2.3 per cent on light volumes to $7.16.
Global logistics firm Mainfreight rose 1 per cent to $30.60 in typically light trading, while national carrier Air New Zealand increased 0.7 per cent to $3.10 on a quarter of its average volumes.
Spark New Zealand advanced 1.1 per cent to a record close $4.275. It was the most traded stock with 2.5 million shares changing hands, below its 90-day average of 2.9 million.
- Additional reporting BusinessDesk
