- Oil rallies, stocks mostly retreat on Middle East tensions
- Phasing out teen smoking could save 1.2 mn lives: study
- 'Welcome relief': Asia producers hail EU deforestation law delay
- Japan PM slated to announce plans for 'happiness index'
- Turkish inflation falls less than expected in September at 49.4%
- Easing inflation lifts profit at UK supermarket Tesco
- Skiing calls on UN climate science to combat melting future
- China wine industry looks to breed climate resilience
- Tokyo rallies on weak yen, Hong Kong drops after surge
- Dutch airline KLM unveils 'firm' cost-cutting measures
- Carpe diem: the Costa Rican women turning fish into fashion
- Senegal looks to aquaculture as fish stocks dwindle
- Will AI one day win a Nobel Prize?
- Climate change, economics muddy West's drive to curb Chinese EVs
- Argentina's Milei vetoes university budget after huge protests
- TotalEnergies plans to grow oil and gas production until 2030
- 2024 Nobels offer glimmer of hope as global crises mount
- Tokyo rallies on weak yen, Hong Kong reverses after surge
- Tunisia readies for vote as incumbent Saied eyes victory
- High childcare costs in US weigh on women's employment
- US voters seek help with crushing childcare costs
- Taiwan shuts down for second day as Typhoon Krathon to land
- Supercharged storms: how climate change amplifies cyclones
- Biden official urges talks as US port strike enters second day
- Huge protests in Argentina over public university cuts
- Rally in oil prices loses steam on mixed day for global stocks
- South America treated to rare 'ring of fire' eclipse
- Biden official says port strike deal not as far as parties think
- Mexico's new president offers apology for 1968 student massacre
- Historic funding round values OpenAI at $157 billion
- Mixed US car sales in Q3 as industry hopes for post-election bounce
- Thunderstorms are a 'boiling pot' of gamma rays, scientists find
- Scientists unlock secret of 'Girl With Pearl Earring'
- Dolphins flash friendly grins when they're ready to play
- Facing backlash, EU moves to delay deforestation rules
- US private sector adds more jobs than expected in September: ADP
- Boys out of critical condition after Zurich stabbings
- Spain logs record summer tourism as inflow draws protests
- Hedi Slimane quits as Celine's artistic director
- Oil prices extend rally on Iran attack
- Spain welcomed record number of tourists this summer
- France says coming tax hikes on the wealthy to be 'temporary'
- Why are Thailand's roads so deadly?
- Oracle to invest $6.5 bn in Malaysian cloud services region
- Parkrun marks 20 years of a free weekly jog, run... or walk
- Oil extends rally after Iran attack, Hong Kong soars again
- Prostitutes, prospectors drive spread in DR Congo mpox capital
- Oil extends rally after Iran attack, Hong Kong resumes surge
- Extreme heat another form of death sentence in Texas jails
- Can music help plants grow? Study suggests sound boosts fungus
BCC | -1.33% | 139.53 | $ | |
SCS | -2.56% | 12.87 | $ | |
JRI | -1.12% | 13.38 | $ | |
NGG | -1.85% | 68.78 | $ | |
RIO | -0.48% | 70.82 | $ | |
GSK | -2.15% | 39.45 | $ | |
BCE | -1.13% | 34.44 | $ | |
CMSC | 0.04% | 24.78 | $ | |
AZN | 1.14% | 79.58 | $ | |
CMSD | -0.04% | 24.93 | $ | |
RBGPF | 100% | 59.99 | $ | |
RYCEF | 0.14% | 6.91 | $ | |
BTI | -1.33% | 35.97 | $ | |
BP | 0.86% | 32.37 | $ | |
VOD | -2.16% | 9.74 | $ | |
RELX | -0.11% | 47.29 | $ |
Global stocks split on China, US consumer confidence
European and Asian stocks climbed Tuesday and oil prices rallied as China relaxed hard-line Covid-19 policies, but Wall Street equities tumbled following weak consumer confidence data.
In a major shift, Chinese authorities shortened quarantine for inbound travelers to just 10 days instead of three weeks, fueling hopes of recovery for the world's second largest economy.
The cities of Beijing and Shanghai also reported no Covid cases on Tuesday, suggesting they had largely contained outbreaks that forced tens of millions to stay home and snarled up global supply chain chains.
"The Covid crisis appears to be rapidly retreating in China," noted Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown.
"The prospects of rapid recovery for the world's second largest economy is helping lift miners, as metals prices rise in expectation of a surge in demand in the commodity-hungry economy."
Asian equity markets closed higher, with both Hong Kong and Shanghai rising 0.9 percent.
Traders also digested comments from European Central Bank President Christine Lagarde, who said the ECB would go "as far as necessary" to fight inflation that is set to remain "undesirably high."
Paris rose 0.6 percent and Frankfurt added 0.4 percent. London climbed 0.9 percent.
US stocks also opened solidly higher but dropped into negative territory soon thereafter following a consumer confidence reading at its lowest level in more than a year on surging inflation.
The downcast report was due in part to the feeling higher prices would persist, suggesting consumers aren't sure the Federal Reserve's aggressive efforts to tame inflation will work.
"We could have some difficult days ahead of us," said Gregori Volokhine of Meeschaert Financial Services.
Dana Peterson, The Conference Board's chief economist, warned the United States will likely see a recession in late 2022.
"We are anticipating a brief yet shallow recession starting in the fourth quarter of this year and extending into the first quarter of next year," she said during a Politico event.
US selling accelerated throughout the day, with the broad-based S&P 500 finishing two percent lower.
US equities also fell on Monday after last week's strong gains in a rally that some are now doubting.
"It looks like investors are potentially underestimating the big macro risks facing them by bidding up equity prices over the last few days," City Index analyst Fawad Razaqzada told AFP.
"It is far too early to be optimistic that this latest recovery will hold."
Oil prices, a major driver of the soaring inflation, rose again on fears of further supply tightening, in addition to prospects for higher Chinese demand.
This comes after G7 leaders agreed to work on a price cap for Russian oil, a US official said Tuesday, as part of efforts to cut the Kremlin's revenues.
- Key figures at around 2030 GMT -
New York - Dow: DOWN 1.6 percent at 30,946.99 (close)
New York - S&P 500: DOWN 2.0 percent at 3,821.55 (close)
New York - Nasdaq: DOWN 3.0 percent at 11,181.54 (close)
London - FTSE 100: UP 0.9 percent at 7,323.41 (close)
Frankfurt - DAX: UP 0.4 percent at 13,231.82 (close)
Paris - CAC 40: UP 0.6 percent at 6,086.02 (close)
EURO STOXX 50: UP 0.3 percent at 3,549.29 (close)
Tokyo - Nikkei 225: UP 0.7 percent at 27,049.47 (close)
Hong Kong - Hang Seng Index: UP 0.9 percent at 22,418.97 (close)
Shanghai - Composite: UP 0.9 percent at 3,409.21 (close)
Brent North Sea crude: UP 2.5 percent at $117.98 per barrel
West Texas Intermediate: UP 2.0 percent at $111.76 per barrel
Euro/dollar: DOWN at $1.0525 from $1.0584 Monday
Pound/dollar: DOWN at $1.2187 from $1.2265
Euro/pound: UP at 86.32 pence from 86.29 pence
Dollar/yen: UP at 136.20 yen from 135.46 yen
burs-jmb
H.Meyer--CPN