European stocks are seen opening on a mixed note Wednesday following a quiet day on Wall Street overnight as traders grapple with Middle East tensions, a rising dollar and uncertainties over the upcoming U.S. presidential election.
Asian stocks traded mixed, with Japan’s Nikkei falling about 1 percent due to election jitters.
Chinese, Hong Kong and South Korean markets were seeing significant gains as Beijing intensifies efforts to bolster the world’s second-largest economy.
A state-backed think tank has reportedly proposed issuing 2 trillion yuan ($281 billion) in special government bonds to help create a market stabilization fund that would promote market stability through the buying and selling of blue-chip stocks and exchange-traded funds.
In a report published Tuesday, the International Monetary Fund trimmed its forecast for growth in China for this year to 4.8 percent from 5 percent previously, citing weakness in the real estate sector and low consumer confidence.
The Japanese yen fell to its lowest level in three months as the dollar and U.S. Treasury yields continued to rise on rising chances of Trump winning the presidency and the higher inflation and fiscal spending it will bring,
The euro hovered near a two-month low amid bets the European Central Bank will keep lowering rates.
Gold held steady near a record high despite Fed officials urging a cautious approach to interest rate cuts.
Oil prices traded lower in Asian trading as industry data signaled a rise in U.S. oil inventories and the Biden administration renewed efforts to secure a cease-fire in the Middle East.
Earnings news is likely to be in the spotlight later today, with AT&T, Boeing and Coca-Cola among the companies due to release their quarterly results before the U.S. opening bell.
U.S. stocks ended narrowly mixed overnight as Treasury yields continued to climb on prospects for a slower pace of Federal Reserve rate cuts and amid concerns about the possible fiscal impact of U.S. presidential election results.
The Dow and the S&P 500 finished marginally lower while the tech-heavy Nasdaq Composite edged up 0.2 percent.
European stocks closed lower Tuesday on worries about the U.S. fiscal deficit and comments from Federal Reserve officials hinting at gradual rate cuts.
The pan-European STOXX 600 dipped 0.2 percent. The German DAX dipped 0.2 percent, France’s CAC 40 ended little changed and the U.K.’s FTSE 100 slid 0.1 percent.
Business News
European Shares Seen Opening Mixed
2024-10-23 05:39:26
