Global stocks mixed after Wall Street hits new high
Investors look to update on US stimulus
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Global stocks were mixed Wednesday as investors looked ahead to a Federal Reserve gathering for an update on US stimulus.
London and Frankfurt advanced in early trading, while Tokyo, Hong Kong and Paris declined. Wall Street futures edged higher after the S&P 500 index set its second record in two weeks on Tuesday. Investors are betting on an 'absence of aggressive taper signals' when Fed officials speak Friday at their annual Jackson Hole meeting, Mizuho Bank's Venkateswaran Lavanya said in a report. Some Fed officials say the US central bank needs to start winding down bond purchases and other stimulus as hiring and inflation rise. Others want to wait for stronger economic data that show a recovery is established. In early trading, the FTSE-100 in London rose 0.2per cent to 7,136.48 and the DAX in Frankfurt gained 0.3per cent to 15,905.85. The CAC 40 in Paris lost 0.3per cent to 6,664.31. On Wall Street, futures for the S&P 500 and Dow Jones Industrial Average were up less than 0.1per cent. On Tuesday, the S&P 500 advanced to 4,486.23 for its second record high in two weeks.
The Dow gained 0.1per cent while the Nasdaq composite climbed 0.5per cent to a record 15,019.80. In Asia, the Shanghai Composite Index rose 0.7per cent to 3,540.38 while the Nikkei 225 in Tokyo shed 0.1per cent to 25,693.95. The Hang Seng in Hong Kong declined 0.1per cent to 25,693.95. The Kospi in Seoul rose 0.3per cent to 3,146.81 and Sydney's S&P-ASX 200 advanced 0.4per cent to 7,531.90. India's Sensex added 0.2per cent to 56,043.03. New Zealand and Southeast Asian markets rose.
On Wall Street, banks and a mix of retailers, travel companies and restaurant chains accounted for much of Tuesday's rise. They offset a slide in health care companies, household goods makers and technology stocks.
