Global Markets Mixed on Wall St., Virus12/02 05:25
Global stocks and Wall Street futures were mixed Thursday as traders tried
to figure out the potential impact of the latest coronavirus variant.
BEIJING (AP) -- Global stocks and Wall Street futures were mixed Thursday as
traders tried to figure out the potential impact of the latest coronavirus
London and Frankfurt opened lower and Shanghai and Tokyo fell. Hong Kong
It is unclear whether omicron is more dangerous than other variants. But
governments have responded by tightening travel controls. That is fueling
unease about the outlook for a global economic recovery.
On Wall Street, the future for the Dow Jones Industrial Average was up 0.6%
and that for the S&P 500 index gained 0.5%. The sank 1.2% on Wednesday despite
surveys showing hiring and factory activity in November were better than
expected. Markets already were sliding when the White House announced the
discovery of the first omicron case in the United States.
On Wednesday, the Dow declined 1.3% and the Nasdaq slid 1.8%.
In early trading Thursday, the FTSE 100 in London lost 0.9% to 7,105.89 and
the DAX in Frankfurt tumbled 1.4% to 15,263.35. The CAC in Paris shed 1.2% to
In Asia, the Shanghai Composite Index lost less than 0.1% to 3,573.84 and
the Nikkei 225 in Tokyo sank 0.6% to 27,753.37. The Hang Seng in Hong Kong
advanced 0.6% to 23,788.93.
The Kospi in Seoul surged 1.6% to 2,945.27 while Sydney's S&P-ASX 200 lost
0.2% to 7,225.20.
India's Sensex rose 0.8% to 58,165.65. New Zealand and Singapore fell while
The latest data "painted an optimistic picture for economic conditions, but
that seems to be taking a backseat as the omicron variant can potentially shift
the landscape," Yeap Jun Rong of IG said in a report.
Investors already were rattled after Federal Reserve chairman Jerome Powell
said the U.S. central bank might withdraw stimulus sooner than expected due to
persistently high inflation.
The Fed's bond purchases are injecting money into the financial system,
boosting stock prices. The S&P500 has more than doubled since March 2020.
In energy markets, benchmark U.S. crude rose 87 cents to $66.44 in
electronic trading on the New York Mercantile Exchange. The contract fell 61
cents on Wednesday to $65.57. Brent crude, the price standard for international
oils, gained $1 to $69.87 per barrel in London. It lost 36 cents the previous
session to $68.87.
The dollar gained to 113.21 yen from Wednesday's 112.79 yen. The euro
advanced to $1.1323 from $1.1319.