Global stocks rise after Wall St halts streak of declines

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BEIJING (AP) — Global stocks and U.S. futures rose Monday after Wall Street rebounded from a seven-week streak of declines and China eased virus restrictions on business activity in Shanghai and Beijing. .

London and Frankfurt opened higher. Shanghai, Tokyo and Hong Kong are progressing. Oil remained above $110 a barrel.

Futures for Wall Street’s S&P 500 index were 0.9% higher after Friday’s benchmark finished up 6.6% for the week after the oil surge fell. inflation. US markets are closed Monday for a public holiday.

“Markets rallied over the long weekend, setting a positive tone at the start of this week,” ING economists said in a report.

In early trading, the FTSE 100 in London gained 0.4% to 7,613.78 and the DAX in Frankfurt advanced 0.7% to 14,564.68. The CAC 40 in Paris rose 0.8% to 6,565.13.

On Wall Street, the Dow Jones Industrial Average future was up 0.7%.

On Friday, the S&P gained 2.5%, propelled by gains from technology companies.

Investors were relieved after Commerce Department data showed that US inflation, which prompted the Federal Reserve to raise interest rates, slowed to 6.3% year on year earlier in April, its first drop in 17 months.

Markets are worried about whether the Fed can control inflation, which is at its highest level in four decades, without tipping the world’s largest economy into recession.

The U.S. market has slumped over the past two months on fears of interest rate hikes that could dampen economic activity, and the impact of Russia’s war on Ukraine and a Chinese economic slowdown.

Crude oil prices have risen nearly 60% this year on fears of supply disruptions from Russia, the world’s second largest exporter. Wheat prices have increased by about 50% and corn prices have increased by 30%.

The Dow Jones rose 1.8% and the tech-dominated Nasdaq gained 3.3%.

In Asia, the Shanghai Composite Index rose 0.6% to 3,149.06 after more factories and stores in Beijing and Shanghai were allowed to reopen.

The Nikkei 225 in Tokyo jumped 2.2% to 27,369.43 and the Hang Seng in Hong Kong gained 2.1% to 21,123.93. The Kospi in South Korea advanced 1.2% to 2,669.66.

Sydney’s S&P-ASX 200 was up 1.4% at 7,286.60.

India’s Sensex added 1.8% to 55,856.06. The New Zealand and Southeast Asian markets grew.

More factories, shops and other businesses are allowed to reopen this week in Shanghai and the Chinese capital, Beijing, after authorities declared the outbreaks under control. The Shanghai city government has promised rent and tax cuts, faster approvals for construction projects and more subsidies for the purchase of electric cars.

In energy markets, benchmark U.S. crude rose 44 cents to $115.53 a barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the price base for international oils, rose 48 cents to $116.04 a barrel in London.

The dollar rose slightly to 127.34 yen from 127.10 yen on Friday. The euro fell from $1.0733 to $1.0766.

Copyright 2022 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission.


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