Trading in global shares was mixed yesterday, with losses of more than 2 percent in Chinese benchmarks, as Asia’s main stock market in Tokyo stayed closed for the New Year holiday.
In European trade, France’s CAC 40 closed up 0.2 percent at 7,393.76, Germany’s DAX gained 0.6 percent at 20,024.66, and Britain’s FTSE 100 rose 1.1 percent at 8,260.09.
Investors remain cautious over what US president-elect Donald Trump might do once he takes office, including raising tariffs on imports from China and other Asian countries.
Photo: CNA
The Shanghai Composite index dropped 2.7 percent to close at 3,262.56 and the Hang Seng index in Hong Kong fell 2.2 percent to 19,623.32.
A survey of factory managers, the Caixin China Purchasing Managers Index, showed activity expanding at a slower pace last month as the index fell to 50.5 from 51.5 the previous month, on a scale where readings above 50 show expansion. New orders, employment and business sentiment weakened.
Upbeat talk by Chinese President Xi Jinping (習近平) in a New Year’s address did little to raise optimism among market players who are hoping for more aggressive action to support the economy and boost share prices.
Elsewhere in the Asia-Pacific region, the TAIEX in Taipei fell 0.88 percent to 22,832.06, its worst start to a year in nine years. Australia’s S&P/ASX 200 rose 0.5 percent to 8,201.20 and South Korea’s KOSPI was flat at 2,398.94.
On Wednesday, markets were closed on Wall Street for the New Year’s Day holiday, as were nearly all other world markets.
US stock indices closed mostly lower on Tuesday as the market delivered a downbeat finish on the final day of another milestone-shattering year on Wall Street.
The US markets’ stellar run was driven by a growing economy, solid consumer spending and a strong jobs market, while skyrocketing prices for companies in the artificial intelligence business helped lift the market to new heights.
After three interest rate cuts last year, the US Federal Reserve has signaled a more cautious approach heading into this year as the country prepares for Trump’s transition into the White House.
Trump’s threats to hike tariffs on imported goods have raised anxiety that inflation could be reignited as companies pass along the cost of tariffs.
In energy trading, benchmark US crude oil rose US$0.26 to US$71.98 a barrel.
Brent crude, the international standard, added US$0.28 to US$74.85 a barrel.
The US dollar slipped to ￥156.79 from ￥157.24, and the euro rose to US$1.0368 from US$1.0359.
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