UNITED STATES NEWS

Stock market today: Asian shares are mostly higher ahead of US inflation data and a US-China summit

Nov 12, 2023, 8:18 PM | Updated: Nov 13, 2023, 8:48 pm

TOKYO (AP) — Asian shares were mostly higher Tuesday ahead of potentially market-moving developments, including a U.S.-China summit and data releases from the U.S., Japan and China.

Japan’s benchmark Nikkei 225 gained 0.5% to 32,757.44. Australia’s S&P/ASX 200 advanced 0.6% to 6,992.10. South Korea’s Kospi added 1.1% to 2,429.21. Hong Kong’s Hang Seng dropped 0.4% to 17,359.13 while the Shanghai Composite edged less than 0.1% higher, to 3,047.13.

“Asian stocks gained ground as investors awaited U.S. inflation figures, hoping to confirm that interest rates have peaked. Meanwhile, positive geopolitical sentiments filled the backdrop as investors looked forward to anticipated talks between the U.S. and China,” Stephen Innes, managing partner at SPI Asset Management, said in a written commentary.

China is due to release monthly economic indicators on Wednesday and Japan will announce its latest growth numbers.

On Wednesday, Chinese leader Xi Jinping is set to meet with President Joe Biden on the sidelines of a Pacific Rim summit in California. It will be the first face-to-face encounter in a year between the leaders of the world’s two biggest economies.

On Monday, Wall Street drifted to a mixed finish to open a week that could bring more action to financial markets, with several big reports on the calendar. The S&P 500 slipped 0.1% to 4,411.55. The Dow Jones Industrial Average gained 0.2% to 34,337.87, and the Nasdaq composite fell 0.2% to 13,767.74.

The profit reporting season for the summer is winding down, and most companies have again topped analysts’ expectations.

Later this week, Target, TJX and Walmart will report their results, and more attention may also be on what they say about upcoming trends than about the summer.

The economy has remained strong, even though the Federal Reserve has hiked its main interest rate to its highest level since 2001 in hopes of stamping out high inflation. But worries remain about whether it can stay solid as the full effects of rate hikes make their way through the system.

That’s why so much attention will be on Tuesday’s inflation report. The hope is that inflation will continue to cool from its peak in the summer of 2022, when it topped 9%, and convince the Federal Reserve that no more hikes to rates are necessary. That could speed up the timeline for potential cuts to interest rates.

Economists expect the report to show that consumers paid prices that were 3.3% higher in October than a year earlier, down from September’s inflation rate of 3.7%.

With inflation generally cooling, Federal Reserve Chair Jerome Powell recently suggested a recent rise in longer-term Treasury yields might act as a substitute for further rate hikes. But Powell said last week the Fed would not hesitate to hike rates again if needed.

In the bond market, the yield on the 10-year Treasury was at 4.63%, level with where it was late Friday. It’s come down over the last month on hopes the Fed may be done with its rate hikes, but is still well above where it’s been for years.

High rates and yields weigh on all kinds of investments, and they tend to hit technology and other high-growth companies particularly hard. Some Big Tech stocks were among the heaviest weights on the S&P 500, including a 0.9% dip for Apple and 0.8% slip for Microsoft.

The credit-rating agency Moody’s said late Friday that it could eventually downgrade the top-tier “AAA” rating it has for U.S. government debt given the cost of rising interest rates and political polarization in Congress, where a deadline looms that could result in a U.S. government shutdown.

General worries about big deficits and the inability of the two parties to work together have helped push Treasury yields higher.

In other trading, benchmark U.S. crude oil added 16 cents to $78.42 a barrel in electronic trading on the New York Mercantile Exchange. It gained $1.09 on Monday. Brent crude, the international standard, added 17 cents to $82.69 a barrel.

In currency trading, the U.S. dollar was unchanged at 151.72 Japanese yen. The euro slipped to $1.0699 from $1.0701.

___

AP Business Writer Stan Choe contributed.

United States News

north-korean-fraud...

Nick Borgia

Arizona woman accused of involvement in major North Korean fraud scheme

An Arizona woman is being prosecuted for allegedly assisting in North Korean fraud schemes to place overseas IT workers in U.S. positions.

2 hours ago

Houston storms cause widespread damage on Friday...

Associated Press

Some in Houston facing no power for weeks after storms cause widespread damage, killing at least 4

Houston storms cause widespread damage on Friday, May 17. Thunderstorms hit the southeastern part of Texas, killing at least four people.

3 hours ago

Man gets 30 years in prison for attacking ex-Speaker Nancy Pelosi’s husband with a hammer...

Associated Press

Man gets 30 years in prison for attacking ex-Speaker Nancy Pelosi’s husband with a hammer

A man has been sentenced to 30 years in prison for attacking the husband of then-House Speaker Nancy Pelosi with a hammer.

3 hours ago

Associated Press

Missouri candidate with ties to the KKK can stay on the Republican ballot, judge rules

JEFFERSON CITY, Mo. (AP) — A longshot Missouri gubernatorial candidat e with ties to the Ku Klux Klan will stay on the Republican ticket, a judge ruled Friday. Cole County Circuit Court Judge Cotton Walker denied a request by the Missouri GOP to kick Darrell McClanahan out of the August Republican primary. McClanahan is running […]

3 hours ago

Associated Press

UN experts say South Sudan is close to securing a $13 billion oil-backed loan from a UAE company

UNITED NATIONS (AP) — U.N. experts say South Sudan is close to securing a $13 billion loan from a company in the United Arab Emirates, despite the oil-rich country’s difficulties in managing debts backed by its oil reserves. The panel of experts said in a report to the U.N. Security Council that loan documents it […]

5 hours ago

Associated Press

A murderous romance or frame job? Things to know about Boston’s Karen Read murder trial

BOSTON (AP) — A highly anticipated trial in Massachusetts involving a woman accused of striking her Boston police officer boyfriend with her SUV and leaving him for dead in a snowbank is finishing its third week on Friday. The case has garnered national attention because the defense alleges that state and local law enforcement officials […]

5 hours ago

Sponsored Articles

...

COLLINS COMFORT MASTERS

Here are 5 things Arizona residents need to know about their HVAC system

It's warming back up in the Valley, which means it's time to think about your air conditioning system's preparedness for summer.

...

Midwestern University

Midwestern University Clinics: transforming health care in the valley

Midwestern University, long a fixture of comprehensive health care education in the West Valley, is also a recognized leader in community health care.

...

Collins Comfort Masters

Here’s 1 way to ensure your family is drinking safe water

Water is maybe one of the most important resources in our lives, and especially if you have kids, you want them to have access to safe water.

Stock market today: Asian shares are mostly higher ahead of US inflation data and a US-China summit