Thursday, Jun 29th

Last update03:50:20 PM GMT

You are here::

Europe stocks higher, Asia off despite Wall Street gains

E-mail Print PDF

Beijing, Jun 14 (AP)- European shares gained Wednesday following Wall Street's tech-driven rise as investors waited for word from the U.S. Federal Reserve on a possible interest rate hike, while Asian markets were mostly lower.
KEEPING SCORE: France's CAC-40 gained 0.9 percent to 5,308.17 points and Germany's DAX added 0.5 percent to 12,830.93. London's FTSE 100 rose 0.2 percent to 7,519.38. On Tuesday, the DAX gained 0.5 percent, the CAC-40 advanced 0.4 percent and the FTSE 100 index lost 0.3 percent. On Wall Street, futures for the Dow Jones industrial average and the Standard & Poor's 500 index were little changed.
ASIA'S DAY: The Shanghai Composite Index lost 0.7 percent to 3,130.67 and Tokyo's Nikkei 225 retreated 0.1 percent to 19,883.52. Hong Kong's Hang Seng Index advanced 0.1 percent and Seoul's Kospi retreated 0.1 percent to 2,372.64. Sydney's S&P ASX 200 rose 1.1 percent to 5,833.90 and India's Sensex added 0.2 percent to 31,178.84. Benchmarks in Taiwan, Singapore and Malaysia retreated while New Zealand gained.
WALL STREET: U.S. stocks bounced back to record highs as investors put an end to a two-day drop for tech-nology companies. Energy and consumer-focused companies also made outsize gains. The Standard & Poor's 500 index picked up 0.5 percent to 2,440.35. The Dow Jones industrial average rose 0.4 percent to 21,328.47. The Nasdaq composite, which has a large concentration of technology companies, rose 0.7 percent to 6,220.37.
FED WATCH: The U.S. Federal Reserve ends a two-day policy meeting on Wednesday, and investors expect the central bank to raise interest rates for the third time since December. They also are watching for the Fed's latest views on inflation and hints on how aggressive it will be in raising interest rates in the future.
ANALYST'S TAKE: "Despite stubbornly low inflation, the Fed is widely anticipated to lift its interest rate tomorrow," Ric Spooner of CMC Markets said in a report. "In a further sign that the Fed is leading a gradual global exit from monetary stimulus, Canada's Central Bank Governor last night surprised markets with hawkish comments."
CHINA: Government data showed retail sales in May rose 10.7 percent from a year earlier, a small gain over the 10.3 percent rate for the first four months of the year. Factory output rose 6.5 percent over a year earlier, holding steady at April's rate. Growth in investment in factories, real estate and other fixed assets decelerated to 8.6 percent over a year earlier in the first five months of 2017, down 0.3 percentage points from the rate in January-April.
BREXIT: The European Union moved to tighten its oversight of a key financial market based in London, threatening tens of thousands of jobs in Britain once the country exits the bloc. Draft regulations published by the EU executive Commission would force any clearinghouse considered important to the EU financial system to accept direct oversight from the bloc and, if requested, relocate to inside the EU. One report suggests that losing the market could cost the country 83,000 jobs, mostly in London, one of the world's top finance hubs.
ENERGY: Benchmark U.S. crude fell 55 cents to $45.91 per barrel in electronic trading on the New York Mercantile Exchange. The contract gained 38 cents on Tuesday to $46.46 a barrel. Brent crude, used to price international oils, shed 50 cents to $48.22 in London. It gained 57 cents the previous session.
CURRENCY: The dollar rose to 110.19 yen from Tuesday's 110.04 yen. The euro gained to $1.1208 from $1.1205.