As Israel marks one year since the Oct. 7 Hamas attack, global stocks were mixed on Monday, with crude oil on the decline after the Israeli military said a projectile fired from Gaza set off a siren in central Tel Aviv. Prices have risen.
After a day of strong stock price gains in Asian markets, stock prices fell in European markets. Paris’ CAC40 index fell 0.1% to 7,530.43. Germany’s DAX fell 0.3% to 19,059.46, while London’s FTSE 100 index fell 0.1% to 8,275.18.
Futures for the S&P 500 and Dow Jones Industrial Average fell 0.4%.
Asian stocks posted strong gains after a surprisingly strong U.S. jobs report boosted economic optimism and sparked a rally on Wall Street on Friday.
Japan’s Nikkei 225 index rose 1.8% to 39,332.74 as the yen weakened against the dollar. Since Prime Minister Shigeru Ishiba took office last week, Japan’s currency has risen on speculation over the central bank’s interest rate plans. Lower interest rates tend to push up the prices of stocks and other assets, and both Ishiba and the central bank governor have indicated that no rate hikes are likely in the near future.
Nintendo rose 4.4% after reports that a Saudi Arabian wealth fund plans to increase investment in the Kyoto, Japan-based video game maker.
In his policy speech on Friday, Ishiba said he hoped to see salary increases outpace inflation and promote investment to create a “virtuous cycle of growth and distribution.” He promised economic support for low-income households, regional revitalization, and disaster prevention measures.
However, according to Japanese media, he has not presented any major new initiatives, and his initial public approval rating was around 50% or less, relatively low for a new leader. He plans to dissolve parliament on Wednesday ahead of an October 27 election.
The yen briefly appreciated against the dollar before falling back late last week. The dollar was trading at 148.34 yen early Monday, down from 148.72 yen late Friday. The euro rose to $1.0974 from $1.0967.
Elsewhere in Asia, Hong Kong’s Hang Seng Index rose 1.6% to 23,099.78, while Seoul’s Kospi rose 1.6% to 2,610.38.
Taiwan’s Tyex rose 1.8%.
Mainland markets resumed on Tuesday after a week-long holiday, and the government said it planned to outline details of its stimulus package at a morning press conference in Beijing. Stock benchmarks have surged ahead of the October 1 National Day holiday on policy announcements aimed at boosting the sluggish real estate market, and could see more volatility this week.
In a research note, Mr. B of A Securities said, “In order to turn the economy around, we need further fiscal stimulus to stabilize the real estate market and restructure local government debt, as well as structural reforms to address excess production capacity and deflation.” “It’s necessary,” he said, pointing out that the decline continues. It affects home sales, home prices, and credit growth.
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On Friday, the S&P 500 rose 0.9%, nearing its all-time high set on Monday. The Dow rose 0.8% and the Nasdaq rose 1.2%.
Concerns over tensions in the Middle East have sent oil prices soaring as the world waits to see how Israel will respond to Iran’s Oct. 1 missile attack.
On Monday, Israel commemorated the hundreds of victims of the October 7, 2023 attack, the dozens of hostages still held captive, and the soldiers who were injured or killed trying to rescue them. The sudden cross-border barrage hit Israel, which was unprepared for a major Jewish holiday.
U.S. benchmark crude rose $1.26 to $75.64 per barrel after falling slightly earlier in the day, while Brent crude, the international standard crude, rose $1.09 to $79.14 per barrel. Ta.
In a report Friday, the U.S. government said employers added 254,000 more jobs than they cut last month. This accelerated from August’s pace of 159,000 jobs and was faster than economists expected.
Recent positive economic data has raised hopes that the job market will hold up even after the Federal Reserve pumps the brakes on the economy by raising interest rates to quell high inflation.
The Fed has started cutting interest rates, and Friday’s jobs report was so strong that traders now don’t expect another 0.5 percentage point cut before the end of the year after cutting rates in September. .