Global stocks have mixed performances as the U.S. market’s rally post-election diminishes. European markets fell on economic data, while Asia saw varied results, particularly a positive outcome in Japan. U.S. stocks also slipped, led by declines in major companies like Tesla, amid concerns over inflation and stable job markets.
Global stock markets exhibited mixed results on Friday, following a decline in U.S. stocks, as the surge in market activity post-Trump’s election begins to fade. European markets opened lower, with Britain’s FTSE 100 falling 0.4% amid disappointing economic growth figures. Germany’s DAX fell by 0.6%, and the Paris CAC 40 decreased by 0.8%. Meanwhile, the S&P 500 and Dow Jones futures also indicated declines of 0.8% and 0.6%, respectively. Conversely, Asian stocks showed varied trends. Tokyo’s Nikkei 225 rose by 0.3%, propelled by a weakening yen that benefitted exporters like Nissan. Meanwhile, Japan reported a stronger economic growth of 0.9% in the third quarter, against an expected lift in interest rates by the Bank of Japan. In contrast, the Hang Seng in Hong Kong and the Shanghai Composite experienced losses of 0.1% and 1.5%, respectively, even as retail sales exceeded forecasts but industrial output showed a slowdown. On the domestic front, the U.S. markets dealt with a downward turn as the S&P 500 and Dow Jones Industrial Average fell by 0.6% and 0.5%, respectively. Tesla, a stock that surged post-election, saw a significant drop of 5.8%. Reports indicated that wholesale prices had risen by 2.4%, surpassing economists’ expectations, while the U.S. job market remains stable with fewer unemployment benefit applications. In commodities, U.S. benchmark crude oil saw a decline of 98 cents to $67.72 per barrel, while Brent crude also fell by $1 to $71.56 per barrel. The dollar weakened against the yen but gained slightly against the euro, signaling ongoing fluctuations in currency exchange rates.
The fluctuations in global stock markets are significant as they reflect investor sentiment following major political events. The recent election of Donald Trump in the U.S. generated optimism, sparking a rally across various sectors, particularly those centered around domestic growth. However, as economic realities and forecasts begin to settle in, stocks are reacting as analysts evaluate ongoing trends in inflation, job stability, and economic data from both the U.S. and key Asian markets, notably Japan and China.
In summary, the stock markets globally are currently experiencing volatility as the impact of the recent U.S. election results begins to level out. While Asian markets displayed some resilience, particularly in Japan, European stocks suffered declines related to disappointing economic growth reports. The U.S. markets showed signs of cooling off after an initial post-election surge, reflecting a broader trend of market reassessment amid significant economic indicators such as inflation and unemployment benefits claims.
Original Source: apnews.com
