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    World stocks mixed as Trump’s talk of tariffs raises uncertainty

    HONG KONG (AP) – European markets opened higher while Asian stocks were mixed yesterday after United States (US) President Donald Trump’s latest comments on tariffs raised uncertainty in Chinese markets.

    France’s CAC 40 gained 0.7 per cent to 7,827.19, and Germany’s DAX added one per cent to 21,253.12. Britain’s FTSE 100 added 0.4 per cent to 8,578.57.

    The future for the S&P 500 was up 0.4 per cent and that for the Dow Jones Industrial Average rose 0.2 per cent.

    Investors in Asia were relieved on Monday after Trump decided not to immediately impose significant tariffs on China. But on Tuesday, Trump said he was considering a 10 per cent punitive duty on Chinese imports over concerns about fentanyl being smuggled from China to the US via Mexico and Canada.

    Trump has promised sweeping moves to reshape global trade and the economy, often at the expense of other countries.

    Hong Kong’s Hang Seng dropped 1.6 per cent to 19,778.77, while the Shanghai Composite lost 0.9 per cent to 3,213.62. In Tokyo, the Nikkei 225 index was up 1.6 per cent at 39,646.25 after Trump announced a joint venture that aims to invest up to USD500 billion in infrastructure related to artificial intelligence (AI).

    Softbank Group Corp’s Japan-listed shares surged 10.6 per cent yesterday.

    United States President Donald Trump appears on a screen as traders work at the New York Stock Exchange. PHOTO: AP

    Taiwan’s Taiex also gained one per cent after Trump’s AI investment push, with Taiwan Semiconductor Manufacturing Corp increasing by 1.3 per cent.

    Elsewhere, South Korea’s Kospi added 1.2 per cent to 2,547.06 and Australia’s S&P/ASX 200 rose 0.3 per cent to 8,429.80.

    On Tuesday, the S&P 500 climbed 0.9 per cent to 6,049.24, while many markets around the world took only tentative steps following Trump’s return to the White House on Monday.

    The Dow Jones Industrial Average rose 1.2 per cent to 44,025.81, and the Nasdaq composite added 0.6 per cent to 19,756.78.

    US Treasury yields gave back some of their big recent gains that had cranked up the pressure on stock markets worldwide, while bitcoin pulled back from its record set the day before.

    The 10-year Treasury yield has been falling since an encouraging update on inflation last week, but it’s still well above where it was in September, when it was below 3.65 per cent.

    In the foreign-currency market, the values of both the Mexican peso and Canadian dollar fell against the US dollar after Trump said he expects to put 25 per cent tariffs on imports from Canada and Mexico starting on February 1.

    In the cryptocurrency market, which has surged amid hopes Trump will make Washington friendlier to the industry, bitcoin pulled back from its record above USD109,000 set on Monday and was trading just above USD105,000 early yesterday, according to CoinDesk.

    Also early yesterday, benchmark US crude gained 29 cents to USD76.12 a barrel. Brent crude, the international standard, picked up 31 cents at USD79.60 a barrel.

    The US dollar rose to JPY155.70 from JPY155.51. The euro cost USD1.0440, down from USD1.0430.

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