* Asian stock markets: https://tmsnrt.rs/2zpUAr4
* Share edge higher in risk-on mood
* Yen and Swiss franc on back foot in Asia
* Oil prices reverse losses on trade outlook
By Stanley White
TOKYO, Nov 26 (Reuters) - Asian stocks rose on Tuesday,
bolstered by Wall Street's record closing highs and signs of new
momentum in Beijing's and Washington's efforts to end their long
and acrimonious trade dispute.
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS rose 0.5% to a one-week high. Australian shares
.AXJO were up 0.9%, while Japan's Nikkei stock index .N225
rose 0.91%.
Shares in the region extended gains on Tuesday after Beijing
said Liu He, China's Vice premier and chief trade negotiator,
held a call with his U.S. counterparts and that both sides
reached consensus on solving relevant problems. That followed positive headlines out of China and the United
States on Monday, which had helped bolster confidence.
The yen fell to a two-week low versus the dollar, while the
Swiss franc traded near a six-week low against the greenback as
the optimistic tone sapped demand for safe-haven currencies.
Oil prices erased early losses to edge higher amid cautious
optimism about progress toward relieving one of the biggest
risks to the global economic outlook.
"The broad trend is the markets are looking for a deal
because trade has been the biggest factor weighing on global
growth and holding back confidence," said Shane Oliver, head of
investment strategy and chief economist at AMP Capital Investors
in Sydney.
"We have a low interest rate environment that is supportive
of equities. If we get better economic news and relief from
geopolitical risks, equities could rally further next year."
U.S. stock futures ESc1 rose 0.21% in Asia on Tuesday.
Wall Street's three main stock averages closed at record
highs on Monday, buoyed by hopes for a trade deal and by M&A
activity.
Traders pointed to China's decision to increase punishments
for intellectual property rights violations as a fresh
concession to the United States in the drawn-out and volatile
negotiations. Investors were also encouraged by positive comments from
U.S. President Donald Trump, Chinese President Xi Jinping and
Chinese state-owned media about the chance for an imminent trade
deal. Also driving Wall Street higher was a burst of major
acquisition activity with France's LVMH LVMH.PA offer to buy
U.S. jeweller Tiffany & Co TIF.N and Charles Schwab Corp's
SCHW.N purchase of U.S. discount brokerage TD Ameritrade
Holding Corp AMTD.O . Despite the recent optimism, a quick resolution to the
U.S.-China trade war is far from certain given relations between
the world's two-largest economies have stalled many times
before.
The United States has imposed tariffs on Chinese goods in a
16-month long dispute over trade practices that the U.S.
government says are unfair. China has responded in kind with its
own tariffs on U.S. goods.
If both sides cannot reach an agreement soon, the next
important date to watch is Dec. 15, when Washington is scheduled
to impose even more tariffs on Chinese goods.
In the offshore market, the yuan CNH=D3 briefly rose to a
one-week high of 7.0188 versus the dollar.
The yen JPY=EBS fell to 109.205 per dollar, the lowest
since Nov. 12, as safe-haven demand waned.
The Swiss franc CHF=EBS , another safe-haven, traded at
0.9971 per dollar, close to the lowest since Oct. 16.
Sterling GBP=D3 traded at $1.2904, holding onto overnight
gains as polls show the ruling Conservatives as runaway
favourites to win a Dec. 12 election with a pledge to implement
Britain's divorce from the European Union. Bitcoin BTC=BTSP , the world's biggest cryptocurrency, rose
0.64% on Tuesday to $7,167.99. Bitcoin slumped to a six-month
low on Monday after the People's Bank of China (PBOC) launched a
fresh crackdown on cryptocurrencies. The PBOC is stepping up efforts to roll out its own digital
currency, partly to fend off potential threats from Facebook's
proposed digital currency, Libra.
U.S. crude CLc1 ticked up 0.03% to $58.03 a barrel. Brent
crude LCOc1 rose 0.09% to $63.71 per barrel.
Oil traders await data this week that is forecast to show a
decline in U.S. crude oil inventories. In addition, the Organization of the Petroleum Exporting
Countries (OPEC) meets on Dec. 5, where the bloc is widely
expected to extend supply cuts to mid-2020. (Editing by Sam Holmes)