Stock markets jumped in unison Thursday on the news that China and the U.S. have agreed to roll back tariffs on each other’s goods in phases as they work toward a broader trade deal. This makes sense, as various surveys have shown that trade uncertainty is the primary risk facing markets. But if a detente is at hand, investors must confront two critical questions they have ignored so far. The first is whether equities can keep rising if an agreement only reinforces the notion that the Federal Reserve is done cutting interest rates and may even start talking about boosting them sooner rather than later. In the absence ... (full story)