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Global market update: APAC shares mixed, US tech surges after earnings

EditorOliver Gray
Published 26/04/2024, 11:02 am
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Investing.com - Global markets exhibited mixed results on Friday as Asian markets opened to varied reactions to the fall of US benchmarks due to inflation and interest rate apprehensions. Despite this, tech giants experienced gains in after-hours trade as earnings surpassed expectations.

Australia's S&P/ASX 200 saw a decrease of 1.2%, Japan's Nikkei 225 remained ticked 0.1% higher and South Korea's KOSPI 200 added 0.8%.

In the US, stocks broadly ended on a lower note due to weaker-than-expected economic growth data coupled with persistent inflation, which is likely to prompt the Federal Reserve to maintain higher interest rates for a more extended period. The Dow Jones Industrial Average fell 375 points or 1%, to 38,085, the S&P 500 lost 0.5% to 5,048, and the NASDAQ Composite dropped by 0.6% to 15,611.

Commodity markets experienced an uptick, with Brent crude oil increasing by 1.3% to US$89.18 a barrel, while gold also rose by 0.7% to US$2,332.46.

In the local bond markets, the yield on Australian 2 Year government bonds increased to 4.07%, and the 10 Year yield also rose to 4.40%. US Treasury notes saw an increase, with the 2 Year yield at 5.00% and the 10 Year yield at 4.70%.

The Australian dollar rose to 65.19 US cents from its previous close of 64.95. The Wall Street Journal Dollar Index, which measures the US dollar against 16 other currencies, fell to 100.13.

Chinese shares concluded in mixed territory, with auto and bank stocks gaining, while energy and semiconductor sectors experienced losses. The Beijing Auto Show saw automakers and associated stocks in focus. Great Wall Motor saw a significant surge of 7.4% after announcing a more than ten-fold rise in the 1Q net profit. Bank of Chengdu and Bank of Jiangsu saw increases of 4% and 3.5% respectively.

Hong Kong's Hang Seng Index reversed early losses to end 0.5% higher at 17284.54, bolstered by property and consumer-related stocks. In contrast, Japanese stocks ended lower due to losses in electronics, machinery, and auto shares amid tensions in the Middle East and caution ahead of the Bank of Japan's policy decision.

India's benchmark Sensex concluded 0.7% higher at 74339.44, led by steel and bank stocks. Investors in Asia are keenly awaiting the U.S. weekly jobless claims and pending home sales data due later today for clues on inflation and economic trends.

European stocks experienced a downturn, with the pan-European Stoxx Europe 600 index down 0.6% at 502.38, the CAC 40 losing 0.9% to 8,016.65, and the DAX 40 shedding 1.0% to 17,917.28. However, the FTSE 100 closed up 0.5% to finish at 8,078.86

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