Global stocks mixed as US-China trade talks resume
AFP – Global stocks were mixed Thursday following lackluster economic data as high-stakes trade talks between the US and China resumed in Washington.
Frankfurt was a touch higher at the close and Paris ended flat, while London lost nearly one percent, and US stocks fell.
Fresh economic data showed manufacturing in the eurozone and Japan shrank in February, which was seen as evidence of global economic sluggishness amid the US-China trade fight
In its eurozone report, IHS Markit cited a "combination of intensifying headwinds and concerns" including global trade war worries, Brexit and the downturn of the auto sector, most worryingly in Germany.
Wall Street stocks finished lower following US economic data that Bill Lynch of Hinsdale Associate described as "mostly pretty weak."
US stocks have been on a tear since late December as the Federal Reserve has sent dovish signals on monetary policy and US and Chinese officials have moved closer to a trade agreement.
Lynch said "the fact that we’ve been up eight consecutive weeks, sooner or later we will have to go down."
Talks resumed in Washington between Chinese and US officials to try to reach a deal on trade following a months-long conflict.
But analysts now are skeptical the two sides can entirely settle the dispute before March 1, although President Donald Trump has said the US could postpone tariffs set to come into effect that date.
Shares in the world’s leading container shipping group, AP Moeller-Maersk, plummeted nearly 10 percent in Copenhagen after the Danish firm released a weaker than expected profit forecast, citing uncertainty over the US-China trade war.
"Markets look towards the US-China trade talks for direction," said IG analyst Joshua Mahony.
"Markets are becoming less sensitive to the fact that these talks are taking place, in some ways reflecting the weariness and skepticism that comes with each meeting."
Among individual companies, Tesla Motors sank 3.7 percent after Consumer Reports withdrew its recommendation on the company’s Model 3 car, citing problems with the vehicle’s reliability.
Dow member Nike fell 1.1 percent after a high-profile sneaker failure involving star college basketball player Zion Williamson. Playing for Duke University in a game against archrival University of North Carolina, Williamson left the game with an injury after less than a minute when his shoe ruptured.
– Key figures around 2140 GMT –
New York – Dow: DOWN 0.4 percent at 25,850.63 (close)
New York – S&P 500: DOWN 0.4 percent at 2,774.88 (close)
New York – Nasdaq: DOWN 0.4 percent at 7,459.71 (close)
London – FTSE 100: DOWN 0.9 percent at 7,167.39 (close)
Frankfurt – DAX 30: UP 0.2 percent at 11,423.28 (close)
Paris – CAC 40: FLAT at 5,196.11 (close)
EURO STOXX 50: UP 0.1 percent at 3,263.70 (close)
Tokyo – Nikkei 225: UP 0.2 percent at 21,464.23 (close)
Hong Kong – Hang Seng: UP 0.4 percent at 28,629.92 (close)
Shanghai – Composite: DOWN 0.3 percent at 2,751.80 (close)
Euro/dollar: UP at $1.1342 from $1.1338 at 2200 GMT
Pound/dollar: DOWN at $1.3037 from $1.3050
Euro/pound: UP at 86.96 pence from 86.87 pence
Dollar/yen: DOWN at 110.69 yen from 110.85 yen
Oil – Brent Crude: DOWN 1 cent at $67.07 per barrel
Oil – West Texas Intermediate: DOWN 20 cents at $56.96 per barrel