Global stock markets mostly higher after Wall Street rebound

Specialist Michael Gagliano works at his post on the trading floor of the New York Stock Exchange, Tuesday, July 20, 2021. Stocks are opening higher on Wall Street Tuesday as investors shake off a rout a day earlier brought on by concerns about the spread of a more contagious variant of COVID-19. (AP Photo/Richard Drew)

Traders Sal Suarino, left, and Frank O'Connell work on the floor of the New York Stock Exchange, Tuesday, July 20, 2021. Stocks are opening higher on Wall Street Tuesday as investors shake off a rout a day earlier brought on by concerns about the spread of a more contagious variant of COVID-19. (AP Photo/Richard Drew)

A board above the trading floor of the New York Stock Exchange shows the closing number for the Dow Jones Industrial Average, Tuesday, July 20, 2021. The Dow Jones Industrial Average rose 549.95 points, or 1.6%. The blue-chip index lost 728 points a day earlier. (AP Photo/Richard Drew)

Trader Peter Tuchman works on the floor of the New York Stock Exchange, Tuesday, July 20, 2021. Stocks jumped on Wall Street Tuesday, making up much of the ground they lost a day earlier when worries flared about spreading cases of the more contagious variant of COVID-19. (AP Photo/Richard Drew)

BEIJING (AP) — Global stock markets advanced Wednesday after Wall Street rebounded as investors tried to figure out how increasing coronavirus cases will affect the global economy.

London and Frankfurt opened higher while Shanghai, Tokyo and Sydney advanced. Hong Kong and Seoul declined.

Investor optimism has been buoyed by higher U.S. corporate profits despite a rise in cases of the virus's more contagious delta variant.

Overnight, Wall Street’s benchmark S&P 500 index gained 1.5%, recovering much of the previous day’s loss.

“Defensive flows eased. However, gains are likely to be capped by lingering concerns over COVID-19′s delta variant,” Anderson Alves of ActivTrades said in a report. “A new wave of infections could delay the reopening of global economies.”

In early trading, the FTSE 100 in London surged 1.6% to 6,989.90 while the DAX in Frankfurt rose 0.7% to 15,322.69. The CAC in Paris jumped 1.4% to 6,438.83.

On Wall Street, futures for the S&P 500 and the Dow Jones Industrial Average were up 0.7%.

On Tuesday, the Dow and the Nasdaq composite both gained 1.6%.

In Asia, the Nikkei 225 in Tokyo rose 0.6% to 27,548.00 after Japan’s June exports jumped 48.5% over a year earlier, beating forecasts.

The Kospi in Seoul shed 0.5% to 3,215.91 after South Korea reported a daily high of 1,784 new coronavirus cases.

The Shanghai Composite Index rose 0.7% to 3,562.66 while the Hang Seng in Hong sank 0.1% to 27,1224.58.

Sydney's S&P-ASX 200 advanced 0.8% to 7,308.70 after Australian retail sales rose 1.3% over a year earlier in the three months ending in June.

New Zealand and Southeast Asian markets gained. Indian markets were closed for a holiday.

The U.S. market has gained ground in choppy trading despite uncertainty about the lingering impact of the virus on business activity and inflation.

The U.S. Centers for Disease Control has said an estimated 83% of U.S. cases are tied to the delta variant.

Investors have been encouraged by quarterly results that show many companies are increasing profits.

In energy markets, benchmark U.S. oil rose 96 cents to $68.16 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the price basis for international oils, added 96 cents to $70.31 per barrel in London.

The dollar gained to 110.13 yen from Tuesday's 109.83 yen. The euro fell to $1.1777 from $1.1783.