Global stocks are mostly higher after a turbulent day on Wall Street

A man wearing a face mask walks past a bank's electronic board showing the Hong Kong stock index in Hong Kong, Tuesday, June 28, 2022. Asian stocks were mixed on Tuesday after a wobbly day on Wall Street as markets cooled after a rare winning week. (AP Photo/Kin Cheung)

A man wearing a face mask walks past a bank’s electronic board showing the Hong Kong stock index in Hong Kong, Tuesday, June 28, 2022. Asian stocks were mixed on Tuesday after a wobbly day on Wall Street as markets cooled after a rare winning week. (AP Photo/Kin Cheung)

PA

Global stocks were mostly higher on Tuesday after a shaky day on Wall Street as markets cooled after a rare winning week.

Oil prices rose and US futures also rose.

As they wrapped up a summit in Elmau, Germany, Group of Seven leaders were finalizing an agreement to cap Russian oil prices, raise tariffs on Russian products and impose other new sanctions.

Rising energy prices and Treasury bond yields were weighing on sentiment after last week’s rally, and investors awaited expected midweek remarks from central bank leaders, including the chairman of the Bank. Federal Reserve Jerome Powell and European Central Bank chief Christine Lagarde, analysts said.

Investors will get an update on U.S. economic growth on Wednesday when the Commerce Department releases a first-quarter gross domestic product report. US consumer confidence data is also the order of the day in a week with few other major economic releases. So some investors have taken a “wait and see” stance, said IG’s Jun Rong Yeap.

“Investors and traders alike are worried about soaring inflation and weak economic growth, and both of these factors continue to flash red signs on their trading dashboards,” Naeem Aslam said. ‘Avatrade.com in a comment. “The question traders are asking is, is the bear market rally over?”

Still, after a mixed start to the day for Asia, stocks rose.

The German DAX gained 0.9% to 13,306.38 while the CAC 40 in Paris rose 1.4% to 6,132.32. Britain’s FTSE 100 gained 1.1% to 7,337.96. Dow Jones and S&P 500 futures rose 0.7%.

On Monday, the S&P 500 slipped 0.3% to 3,900.11. The Dow Jones fell 0.2% to 31,438.26 and the Nasdaq 0.7% to 11,524.55.

In Asian trading on Tuesday, Tokyo’s Nikkei 225 gained 0.7% to 27,049.47 while Seoul’s Kospi gained 0.8% to 2,422.09. Australia’s S&P/ASX 200 climbed 0.9% to 6,763.60.

Chinese stocks were boosted by the easing of pandemic restrictions as the country’s latest wave of outbreaks wanes.

Hong Kong’s Hang Seng Index reversed its early losses, gaining 0.9% to 22,418.97, and the Shanghai Composite Index jumped 0.9% to 3,409.21.

Shares fell in Taiwan and India, but rose in Bangkok.

Oil prices extended their gains after surging on Monday amid reports that Middle Eastern producers were at or near maximum capacity, with little room to increase production.

Benchmark U.S. crude oil gained $1.52 to $111.09 a barrel in electronic trading on the New York Mercantile Exchange. It jumped $1.95 to 109.57 a barrel on Monday.

Brent crude, the price basis for international trade, rose $1.68 to $112.66 a barrel. .

Stocks closed last week with strong gains and the S&P 500 posted its best day in two years on Friday. Markets rallied as pressure from rising Treasury yields eased somewhat and investors speculated that the Federal Reserve might not have to be so aggressive on the hike interest rates as previously thought to control inflation.

Treasury yields have resumed their rise. The yield on the 10-year Treasury note, which helps set mortgage rates, rose to 3.22% early Tuesday from 3.20% late Monday.

Wall Street will release a few additional reports this week that may provide greater insight into inflation, economic growth, and the Fed’s way forward.

Russia’s invasion of Ukraine in February pushed up energy prices, adding to inflationary pressures following the pandemic. US crude oil prices are up more than 40% for the year. Wheat and maize prices also jumped.

In other trading, the US dollar rose to 135.77 Japanese yen from 135.45 yen Monday night. The euro slipped to $1.0584 from $1.0587.

Comments are closed.