Global stocks rise despite Wall Street dip, China economic challenges.
While oil prices decreased, the cities of Frankfurt, Shanghai, Tokyo, and Hong Kong all saw growth. London saw no change.
Wall Street futures were higher, indicating that after the benchmark S&P 500 index lost 0.9% on Monday, prices may be ready to recover.
After lower U.S. inflation sparked optimism that the Federal Reserve could scale back its expected rate rises, that market gave up some of its 5.9% gain from the previous week.
Equity markets are “looking marginally optimistic,” according to a report by Oanda’s Craig Erlam. He noted that although the recent surge is “maybe slowing a little,” there doesn’t seem to be much of a desire to give it up just yet.
Presidents Joe Biden and Xi Jinping also met on Monday in Indonesia for the Group of 20 major economies conference. That raised hopes for a reduction in friction between the US and China over security, commerce, technology, and human rights.
According to Robert Carnell and Nicholas Mapa of ING, the meeting was “surprisingly good.” The FTSE in London fell less than 0.1% in early trading to 7,380.66. The CAC 40 in Paris increased by 0.3% to 6,628.70 while the Frankfurt DAX increased by less than 0.1% to 14,326.36.
The S&P 500 future on Wall Street increased by 0.7%, while the Dow Jones Industrial Average future increased by 0.5%.
