fogn.png
Tuesday December 6th, 2022 11:29PM

Global stocks gain after Wall St slide, China virus fears

By The Associated Press
Related Articles
  Contact Editor

BEIJING (AP) — Major global stock markets advanced Tuesday after Wall Street sank and Chinese anti-virus controls fueled concern about an economic slowdown.

London and Frankfurt opened higher. Shanghai and Tokyo gained, while Wall Street futures were lower. Oil prices gained.

Wall Street's benchmark S&P 500 index declined Monday after a Federal Reserve official rattled investors last week by saying already-elevated interest rates might have to go higher than expected to stop surging inflation.

China's increasing restrictions on millions of people in multiple cities to fight virus outbreaks are adding to concern the world's second-largest economy might weaken further.

“Fears over China’s COVID situation are putting pressure on the global outlook for demand,” Anderson Alves of ActivTrades said in a report.

In early trading, the FTSE 100 in London gained 0.8% to 7,434.43. The DAX in Frankfurt added 0.4% to 14,435.27 and the CAC 40 in Paris was up 0.3% at 6,652.73.

On Wall Street, the S&P 500 future was off 0.1%. That for the Dow Jones Industrial Average was off less than 0.1%.

On Monday, the S&P 500 fell 0.4% and the Nasdaq composite, dominated by tech stocks, dropped 1.1%.

The Dow edged down 0.1%. It was supported by a 6.3% gain for Walt Disney Co. after the entertainment company announced former CEO Bob Iger would return to the job.

Apple slid 2.2% and Visa fell 2.1%.

Tesla tumbled 6.8%. The electric automaker’s shares are down more than 50% this year on fears CEO Elon Musk will be distracted by his $44 billion purchase of Twitter.

Consumer and energy stocks also declined. Target fell 3% and Exxon Mobil dropped 1.4%.

In Asia, the Shanghai Composite Index gained 0.1% to 3,088.94 and the Nikkei 225 in Tokyo rose 0.6% to 28,115.74. The Hang Seng in Hong Kong sank 1.3% to 17,424.41.

The Kospi in Seoul shed 0.6% to 2,405.27 while Sydney’s S&P-ASX 200 gained 0.6% to 7,181.30.

India’s Sensex advanced 0.3% to 61,318.85. New Zealand and Jakarta declined while Singapore advanced.

Concerns about China rose after the major cities of Guangdong and Shijiazhuang ordered millions of residents to stay home and told factory operators to isolate their workforces. Other cities including the capital, Beijing, closed stores and tightened restrictions on movement.

Casino operator Wynn Resorts, which depends on Chinese gamblers visiting the southern territory of Macao for a big share of its revenue, fell 2.2% on Monday. Las Vegas Sands, which also operates casinos in Macao, slid 2.9%.

Bond yields fell. The yield on the 10-year Treasury, which influences mortgage rates, slipped to 3.82% from 3.83% late Friday.

U.S. markets close Thursday for the Thanksgiving holiday and have a shortened trading day Friday.

On Wednesday, the Fed is due to release minutes from its latest meeting. That might give investors more insight into plans to fight inflation that is near a four-decade high.

Traders worry unusually large rate hikes by the Fed and other central banks this year might tip the global economy into recession. They expect the Fed to raise rates again at its December meeting but by one-half percentage point after four hikes of 0.75 percentage points, three times its usual margin.

The president of the St. Louis Federal Reserve Bank, James Bullard, dashed hopes the Fed might be easing off rate hike plans. He suggested the U.S. central bank's key lending rate might need to rise to 5% to 7% before inflation is under control. That would be almost double the current range of 3.75% to 4%, up from close to zero in March.

In energy markets, benchmark U.S. crude gained 46 cents to $80.50 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the price basis for international oil trading, advanced 56 cents to $88.01 per barrel in London.

The dollar declined to 141.31 yen from Monday's 142.17 yen. The euro gained to $1.0280 from $1.0240.

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Economy, AP Business - Financial Markets, AP Business - Industries, AP Business - Financial Services
© Copyright 2022 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Indonesia quake death toll rises to 252 as more bodies found
Indonesian authorities say the death toll from Monday’s earthquake on Java has leapt to 252 as more bodies have been discovered under collapsed buildings
5:07AM ( 8 minutes ago )
World Cup Viewer's Guide: Messi seeks history with Argentina
Lionel Messi returns to the World Cup for a fifth attempt at finally winning soccer’s biggest prize
4:53AM ( 23 minutes ago )
Analysis: As NBA's first quarter ends, the contenders emerge
Miami Heat President Pat Riley has a longstanding belief: After 20 games, a team knows its identity
4:45AM ( 31 minutes ago )
Associated Press (AP)
Report: Welding sparked central China fire that killed 38
Investigators say welding work caused a fire that killed 38 people at an industrial wholesaler in central China's Henan province
3:12AM ( 2 hours ago )
China anti-virus curbs spur fears of global economic impact
Anti-virus controls that have confined millions of Chinese families to their homes and shut shops and offices are spurring fears of further damage to already weak global business and trade
2:07AM ( 3 hours ago )
Asian stocks mixed after Wall St slide, China virus fears
Asian stock markets are mixed after Wall Street sank and Chinese anti-virus controls fueled concern about an economic slowdown
12:38AM ( 4 hours ago )
AP Business
Consumers could pay price if railroads, unions can't agree
Consumers could quickly start seeing higher gas prices and shortages of some of their favorite groceries if railroads aren’t able to agree on contracts with al 12 of their unions ahead of next month’s deadline after the latest rejection vote Monday
6:00PM ( 11 hours ago )
Stocks end lower on Wall Street as tech weighs down Nasdaq
Stocks ended lower on Wall Street at the beginning of a holiday-shortened week
4:57PM ( 12 hours ago )
Stocks slip; Disney soars after reinstating Iger as CEO
Stocks slipped on Wall Street to kick off a holiday-shortened week
3:12PM ( 14 hours ago )
AP Business - Economy
Red Cross: Afghans will struggle for their lives this winter
A senior official with the International Committee of the Red Cross says that Afghans will struggle for their lives as the country braces for its second winter under Taliban rule and faces plummeting humanitarian conditions
2:14AM ( 1 day ago )
Asian stocks down after Wall St weekly loss on rate fears
Asian stock markets are lower after Wall Street ended with a loss for the week amid anxiety about Federal Reserve plans for more interest rate hikes to cool inflation
1:35AM ( 1 day ago )
Afghan official says 19 people lashed in northeast province
An Afghan Supreme Court official says 19 people were lashed in the country's northeast after being convicted of adultery, theft and running away from home
3:13AM ( 2 days ago )
AP Business - Financial Markets
Ukraine to civilians: Leave liberated areas before winter
Ukrainian authorities are evacuating civilians from liberated areas in the southern Kherson and Mykolaiv regions
4:12PM ( 13 hours ago )
100M euros pledged to Moldova, hit hard by war in Ukraine
French President Emmanuel Macron said more than 100 million euros was raised at a donors conference on Monday to help assist Europe’s poorest country, Moldova, which is suffering massive blackouts, an acute energy crisis, heavy refugee flows and potential security threats from the war in neighboring Ukraine
1:14PM ( 16 hours ago )
Ukraine: Civilians should leave liberated areas this winter
Ukrainian authorities have started evacuating civilians from recently-liberated areas in the southern Kherson and Mykolaiv regions
9:52AM ( 19 hours ago )
AP Business - Industries
Brazilian economist will lead regional development bank
Latin American governments have selected Brazilian economist Ilan Goldfajn to lead the region’s largest development bank
1:03PM ( 1 day ago )
Barbados spearheads push on climate disaster financing
As climate-amped disasters ratchet up the suffering, the staid international finance system designed for an earlier age may be on the brink of change, driven by those on the front lines
5:22AM ( 3 days ago )
Global stocks mixed after Wall St falls on rate hike worries
Global stocks are mixed after a Federal Reserve official suggested U.S. interest rates might have to be raised higher than expected to cool inflation
4:36AM ( 4 days ago )
AP Business - Financial Services
Indonesia quake death toll rises to 252 as more bodies found
Indonesian authorities say the death toll from Monday’s earthquake on Java has leapt to 252 as more bodies have been discovered under collapsed buildings
5:07AM ( 8 minutes ago )
World Cup Viewer's Guide: Messi seeks history with Argentina
Lionel Messi returns to the World Cup for a fifth attempt at finally winning soccer’s biggest prize
4:53AM ( 23 minutes ago )
Analysis: As NBA's first quarter ends, the contenders emerge
Miami Heat President Pat Riley has a longstanding belief: After 20 games, a team knows its identity
4:45AM ( 31 minutes ago )
'Stock up on blankets': Ukrainians brace for bleak winter
One of Ukraine's energy chiefs says rolling blackouts across Ukraine may continue through March
4:33AM ( 42 minutes ago )
In California, 10% of Legislature now identifies as LGBTQ
Once all of them assume office, California will be the first state where it's believed more than 10% of legislators identify publicly as LGBTQ
4:30AM ( 46 minutes ago )