Global shares mostly fall, Wall St mixed
In Europe, only Britain’s FTSE was gainer; Hong Kong’s Hang Seng and Shanghai Composite index were higher in Asia; US markets were mixed
image for illustrative purpose
Tokyo: Global shares were mostly lower on Thursday, with Tokyo’s benchmark dipping more than 2 per cent, after Wall Street’s record-breaking rally slammed into a wall of worries over potentially worsening trade tensions with China.France’s CAC 40 inched down less than 0.1 per cent in early trading to 7,568.18. Germany’s DAX dipped nearly 0.2 per cent to 18,407.74. Britain’s FTSE 100 added 0.7 per cent to 8,243.50. US shares were set to be mixed with Dow futures falling nearly 0.1 per cent to 41,469.00, while S&P 500 futures rose nearly 0.2 per cent to 5,648.25. Japan’s Nikkei 225 index finished down 2.4 per cent at 40,126.35. The markets’ spotlight was squarely on chip companies after a report from Bloomberg News said US President Joe Biden is considering the most severe trade restrictions available if companies like the Netherlands’ ASML and Japan’s Tokyo Electron continue to ship advanced semiconductor technology to China.
The US government has blocked Chinese access to advanced chips and the equipment to make them, citing security concerns, and urged its allies to follow suit. Tech-related shares weighed on Tokyo trading.
Tokyo Electron’s shares plunged 8.8 per cent and chip equipment maker Advantest’s shares sank 4.9 per cent. Lasertec Corp. fell 6.3 per cent. The strengthening yen also added to worries about exporter shares in Japan, as a weak yen is a boon for the nation’s giant exporters like Toyota Motor Corp. The US dollar rose to 156.28 Japanese yen from 156.19 yen. It was trading above 161 yen most of last week but had fallen in recent sessions. The euro cost USD 1.0936, inching down from USD 1.0941.
