Free Trial

World stocks slip following record Wall Street charge

A currency trader walks near screens at a foreign exchange dealing room in Seoul, South Korea, Thursday, Aug. 26, 2021. Asian stocks slipped Thursday following a charge on Wall Street that drove indices to all-time highs for the second straight day. (AP Photo/Lee Jin-man)

SINGAPORE (AP) — World stocks were broadly lower on Thursday following a charge on Wall Street that drove indices to all-time highs for the second straight day.

Britain’s FTSE 100 lost 0.3% to 7,127.10 and France’s CAC 40 declined 0.2% to 6,665.06. The DAX in Germany also fell 0.2% to 15,822.87 in early trading.

Wall Street was set for a mixed open. Futures for the S&P 500 and Nasdaq, which hit record highs on Wednesday, fell 0.1% to 4,489.50 and 0.2% to 15,335.50, respectively. Dow futures added under 0.1% to 35,373.00.

At the top of watchlists is the Federal Reserve’s annual convention in Jackson Hole, Wyoming, which begins Thursday. Fed Chair Jerome Powell is scheduled to speak at the convention on Friday.

Traders are betting that Fed officials will remain in a “wait and see” mode regarding inflation, since most policymakers believe any inflation earlier this year would be temporary and the rise in COVID-19 cases has made some economists worried.

“Fact is, markets dig perceptions of Jackson Hole shifting from a harbinger of tightening to assurance of digging in on accommodation as global economies digs out of the pandemic,” said Venkateswaran Lavanya of Mizuho Bank.

In Asia, traders awaited more clarity on Chinese regulatory reforms and their impact on the technology sector.

Chinese technology stocks had rallied earlier this week as a share buyback by games and social media giant Tencent Holding Ltd. boosted sentiment. The firm’s Hong Kong-listed shares fell 0.6% on Thursday.

“After some renewed sentiments brought about by bottom-fishing from institutional investors and Tencent’s share buyback, investors may seem to be on hold for now as they look towards further clarity on the regulatory reforms, which is unlikely to conclude in the near term,” Yeap Jun Rong of IG said.

Japan’s benchmark Nikkei 225 added 0.1% to 27,742.29 while Hong Kong’s Hang Seng gave up 1.1% to 25,415.69. The Shanghai Composite also ended the day 1.1% lower, at 3,501.66.

Australia’s S&P/ASX 200 retreated 0.5% to 7,491.20. The Kospi in South Korea lost 0.6% to 3,128.53 after the country’s central bank raised its policy rate by 25 basis points, in a move that could quell rising household debt.

Shares rose in India, Singapore and Malaysia but fell in Indonesia.

In energy markets, benchmark U.S. crude shed 72 cents to $67.64 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, used as the price basis for international oils, dropped 61 cents to $71.64.

The dollar rose to 110.18 yen from Wednesday’s 109.98 yen. The euro retreated to $1.1765 from $1.1776.

Where Should You Invest $1,000 Right Now?

Before you make your next trade, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis.

Our team has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and none of the big name stocks were on the list.

They believe these five stocks are the five best companies for investors to buy now...

See The Five Stocks Here

Metaverse Stocks And Why You Can't Ignore Them Cover

Thinking about investing in Meta, Roblox, or Unity? Enter your email to learn what streetwise investors need to know about the metaverse and public markets before making an investment.

Get This Free Report
Like this article? Share it with a colleague.

Featured Articles and Offers

Recent Videos

Don’t Miss These Top 3 Defense Stocks Set To Gain
Triple-Digit Gains: These 4 Nuclear Stocks Have Even More Upside Ahead
3 Made in America Stocks Under $20 You Need to See!

Stock Lists

All Stock Lists

Investing Tools

Calendars and Tools

Search Headlines