TOKYO (AP) – Global shares traded mixed yesterday after market optimism got a perk from the record highs set on Wall Street.
France’s CAC 40 fell 0.4 per cent to 7,531.90 in early trading, while Germany’s DAX lost 0.3 per cent to 19,195.69. Britain’s FTSE 100 inched up less than 0.1 per cent to 8,247.07. United States (US) shares were set to drift lower with Dow futures down 0.1 per cent at 42,755.00. S&P 500 futures fell nearly 0.2 per cent to 5,831.00.
In Asia, Japan’s benchmark Nikkei 225 edged up 0.3 per cent to finish at 39,380.89. Australia’s S&P/ASX 200 rose 0.4 per cent to 8,223.00. South Korea’s Kospi added 0.2 per cent to 2,599.16.
Hong Kong’s Hang Seng jumped 3.1 per cent to 21,270.01 after a previous day of wild swings. Earlier in the week, the index dropped more than nine per cent, recording its worst loss since the global financial crisis of 2008. The Shanghai Composite surged 1.3 per cent to 3,301.93.
After rising on hopes for stimulus to prop up the world’s second-largest economy, Chinese stocks slumped earlier this week on disappointment that more isn’t on the way. One plus was the announcement from China’s Finance Ministry it will hold a briefing tomorrow that could provide details on planned government moves.
“There’s still a glimmer of hope that Beijing might swoop in with a fiscal stimulus lifeline in October to reignite growth. In short, the market is hanging in the balance, waiting for the next big move,” said Managing Partner at SPI Asset Management Stephen Innes.
In the oil market, a barrel of Brent crude, the international standard, recovered to rise 49 cents to USD77.07 a barrel.
It briefly topped USD81 early this week. Benchmark US crude gained 53 cents to USD73.77 per barrel.
Earlier leaps for oil driven by worries about worsening tensions in the Middle East had helped drag the S&P 500 on Monday to its worst loss in a month.
Market watchers are paying close attention to the US consumer price data for last month being released later in the day, as inflation still remains an important topic, and a key factor influencing the Federal Reserve’s (Fed) decision on interest rates. The Fed has just begun cutting interest rates from a two-decade high, as it widens its focus to include keeping the economy humming instead of just fighting high inflation.
That caused the sharp easing of rates through the summer, but recent reports have shown the US economy remains stronger than expected.
In currency trading, the US dollar inched up to JPY149.17 from JPY149.16. The euro stood unchanged at USD1.0945.
