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Global market update: APAC shares open mixed, tech stocks drive US rebound

EditorOliver Gray
Published 12/04/2024, 10:29 am
© Reuters.

Investing.com - Asian-Pacific shares opened in a mixed fashion on Friday, after US indices closed higher overnight due to a surge in tech stocks.

By 10:25 am AEST (12:25 am GMT) S&P/ASX 200 0.2%, KOSPI 200 fell 0.7% while the Nikkei 225 added 0.2%.

In the commodities market, Brent crude oil experienced a 0.3% decrease to US$90.22 per barrel, while gold saw a slight dip of 0.04% to US$2,371.58. Australian government bond yields were up, with 2 Year and 10 Year yields at 3.88% and 4.25% respectively. US Treasury notes exhibited mixed trends, with the 2 Year yield down at 4.96% and the 10 Year yield up at 4.59%. The Australian dollar was slightly up at 65.36 US cents.

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Chinese shares managed to close higher after initial losses, thanks to better-than-expected trade and industrial figures. The auto sector led the gains, with Chongqing Changan Automobile and Great Wall Motor climbing 5.1% and 3.1%, respectively. However, biotech stocks, including WuXi AppTec and Cathay Biotech, suffered losses.

Hong Kong's Hang Seng Index ended 0.3% lower at 17095.03, while Japan's Nikkei Stock Average fell 0.35% to close at 39442.63. In India, the Sensex ended 0.5% higher at 75038.15, driven by energy and bank stocks.

European shares closed lower on Thursday, with the pan-European Stoxx Europe 600 down 0.4% to 504.55, France's CAC 40 losing 0.3% to 8,023.74, Germany's DAX shedding 0.8% to 17,954.48, and the UK's FTSE 100 index falling 0.5% to 7,923.80.

Tech stocks fuelled a market rebound on Thursday, bouncing back after Wednesday's inflation-triggered selloff. The Nasdaq Composite rose 1.7%, the S&P 500 gained 0.7%, while the Dow Jones Industrial Average shed about 2 points or 0.01%.

Wall Street continues to revise its projections about the Federal Reserve's interest rate policy. Bank of America (NYSE:BAC) now anticipates one rate cut this year in December, as opposed to its previous expectation of a June commencement for rate cuts.

Thursday saw Boston Fed President Susan Collins and New York Fed President John Williams suggesting a reduced urgency for lowering interest rates compared to earlier this year.

Earnings season commences in full swing on Friday with reports expected from JPMorgan Chase (NYSE:JPM), Citigroup, and Wells Fargo (NYSE:WFC).

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