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Asian stocks track Wall Street low as oil prices rise | Associated Press

Stock prices in Asia fell on Thursday following a recession on Wall Street as crude oil prices soared.

Tokyo, Hong Kong and Shanghai are low and Sydney is high. US futures have risen, with US benchmark crude trading near $ 116 per barrel.

After last week’s rebound, this week’s market has fluctuated as investors are considering concerns about rising inflation and slowing economic growth.

Investors are watching for the following results Meeting of NATO and European leaders At the summit on Thursday, President Joe Biden will meet with major allies to discuss imposing new sanctions on Russia. He is addressing the extraordinary humanitarian crisis of the invasion of Ukraine and is working on a consensus on what to do if Russia launches a cyberattack, a chemical attack, or even a nuclear attack.

attack Ukraine It is pushing up the prices of energy and other commodities that are already skyrocketing.

“Pressure points are rising again, oil is boiling, and stagflation is again squeezing emotions,” said Stephen Innes of SPI Asset Management in a comment.

Nikkei 25 in Tokyo was down 1.1% to 27,727.76. Hong Kong’s Hang Seng Index fell 0.3% to 22,087.39. In Seoul, Kospi fell 0.8% to 2,714.33 and the Shanghai Composite Index fell 0.8% to 3,246.19.

In Australia, the S & P / ASX 200 rose 0.1% to 7,382.60.

The US Trade Representative Office on Wednesday has reinstated China’s export exemption on tariff increases imposed during the trade tactics dispute with Beijing. The premature exemption applies to products such as milking machines, pool vacuum cleaners, electric motors and industrial parts.

On Wednesday, the S & P 500 fell 1.2% to 4,456.24, with more than 80% of Benchmark Index stocks down. The Dow fell 1.3% to 34,358.50. Both indexes currently cover weekly losses.

Nasdaq fell 1.3% to 13,922.60. Stocks of small and medium-sized enterprises also fell. Russell 2000 was down 1.7% to 2,052.21.

Energy stocks have risen as crude oil prices have risen by more than 5%. Hess rose 4.6%, the largest rise in the S & P 500.

US benchmark crude rose 88 cents to $ 115.81 a barrel. It rose $ 5.66 to settle at $ 114.93 per barrel on Wednesday. The international standard Brent crude barrels rose from $ 1.28 to $ 119.08 per barrel. So far, prices have risen by more than 50% in 2022, raising concerns about their impact on a wide range of consumer goods and overall consumer spending.

Many of the high costs that companies incur are passed on to consumers, and soaring prices for food, clothing and other commodities can reduce spending and slow economic growth. Central banks have responded by raising interest rates to counter the effects of inflation.

Bond yields have risen overall as the market prepares for higher interest rates, but eased on Wednesday. Yields on 10-year Treasuries fell from 2.37% on Tuesday to 2.33%.

Investors are preparing for the latest round of corporate earnings as the quarter ends. Some companies are already offering updates.

Adobe warned that a 9.3% drop after giving investors disappointing financial forecasts would affect earnings in Russia and Belarus. Metal maker Worthington Industries fell 17% after reporting unexpected profits in the third quarter.

Homebuilders fell sharply after the government reported a 2% drop in sales of new US homes in February from the downwardly revised total sales in January. The number of resale homes on the market remains at record lows, favoring new homes, but is declining due to rising mortgage rates.

DR Horton slid 5.1% and Tri Pointe Homes decreased 5.9%.

In currency trading, the US dollar rose from 121.15 yen to 121.25 yen late Wednesday. The euro fell from $ 1.1007 to $ 1.0986.

Contributed by AP business writers Damian J. Troise and Alex Veiga. Business writer Joe Macdonald contributed from Beijing.

Copyright 2022 AP communication. all rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.

Asian stocks track Wall Street low as oil prices rise | Associated Press

Source link Asian stocks track Wall Street low as oil prices rise | Associated Press

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