Global stocks mixed, Nikkei up on likely ruling party win
TOKYO (AP) — Global shares were mixed on Wednesday, as some indexes got a boost from overnight gains on Wall Street. Japan’s benchmark rose as expectations grew that a likely ruling party win in Sunday’s parliamentary elections will help stability and growth. The Shanghai Composite index climbed as China’s ruling communists began a congress that is due to give President Xi Jinping a second, five-year term.
KEEPING SCORE: France’s CAC 40 gained 0.1 percent to 5,367.01 in early trading, while Germany’s DAX was also up nearly 0.2 percent at 13,015.23. Britain’s FTSE 100 added nearly 0.2 percent to 7,527.85. U.S. shares were set to drift higher with Dow futures adding 0.2 percent to 22,987. S&P 500 futures were little changed at 2,557.60.
ASIA’S DAY: Japan’s benchmark Nikkei 225 was up 0.1 percent to finish at 21,363.05 and Australia’s S&P/ASX 200 was little changed at 5,890.50. South Korea’s Kospi lost nearly 0.1 percent to 2,482.91. Hong Kong’s Hang Seng was flat at 28,711.76, inching up 0.05 percent, while the Shanghai Composite gained 0.3 percent to 3,381.79.
CHINA PARTY CONGRESS: President Xi Jinping said China’s prospects were bright but made a rare acknowledgement of severe economic challenges as he opened the ruling Communist Party’s twice-a-decade national congress on Wednesday. The leadership is struggling to balance long-term reforms with a need to support growth in an era of weak global demand. Among the grave issues Xi said were insufficiently addressed are a widening income gap and problems in employment, education, medical care and other areas.
JAPAN BALLOT: The party of Japanese Prime Minister Shinzo Abe, credited with bringing about “Abenomics” growth in recent years, is likely to emerge a winner in the parliamentary elections set for Sunday, although a new party is expected to make some gains. Traditional opposition parties are in disarray after the Democratic Party of Japan struggled to deal with the aftermath of the 2011 tsunami, quake and nuclear disasters.
ENERGY: Benchmark U.S. crude rose 15 cents to $52.03 a barrel. It gained a penny to settle at $51.88 a barrel on the New York Mercantile Exchange overnight. Brent crude, used to price international oils, rose 43 cents to $58.31 a barrel in London.
CURRENCIES: The dollar rose to 112.63 yen from 112.20 yen. The euro weakened to $1.1747 from $1.1766.
AP Business Writer Yuri Kageyama can be reached at https://twitter.com/yurikageyama
Her work can be found at https://www.apnews.com/search/yuri%20kageyama