Asian shares mostly rose Wednesday, tracking a rally on Wall Street following a report that showed U.S. inflation was not as bad last month as economists expected. The report indicated that U.S. consumers had to pay prices for gasoline, food, and other costs of living that were 3.5% higher last month than a year earlier.
Market Reaction
South Korea’s Kospi surged 7.1% to 7,343.37 as prices rebounded from a recent sell-off in semiconductor stocks. Japan’s benchmark Nikkei 225 rose 0.9% to 68,353.91. Australia’s S&P/ASX 200 rose 0.2% to 8,830.00. Hong Kong’s Hang Seng edged up 1.6% to 24,721.10, while the Shanghai Composite lost 0.4% to 3,952.04.
The Chinese economy expanded at a 4.3% annualized pace in April-June, slowing sharply from 5% in the first quarter of the year, the government reported. Stock price gains overall were moderate given worries that the United States and Iran may return to an all-out war. That has pushed oil prices higher.
In energy trading, benchmark U.S. crude rose 86 cents to $80.20 a barrel. Brent crude, the international standard, gained $1.15 to $85.88 a barrel. The U.S.-Iran conflict has raised the risks of further disruptions of transport of oil and gas through the Strait of Hormuz.
US Market
On Wall Street, the S&P 500 added 0.4% to recover some of its 0.8% loss from the prior day, closing at 7,543.59. The Dow Jones Industrial Average added less than 0.1% to 52,508.27. The Nasdaq composite climbed 0.9% to 26,107.01.
Stocks got help from easing yields in the bond market, which fell after a report said U.S. consumers had to pay prices for gasoline, food and other costs of living that were 3.5% higher last month than a year earlier. Lower inflation can relieve pressure on the Federal Reserve to raise interest rates.
Original reporting: KTBS 3 (Shreveport) — read the source article.
