Asia stock markets mixed after Wall St high, virus surge

Business News

A man wearing a protective mask looks at an electronic stock board showing Japan’s Nikkei 225 and Shanghai indexes at a securities firm with a traditional New Year decoration at it entrance Wednesday, Dec. 29, 2021, in Tokyo. Asian shares mostly slipped Wednesday, as worries lingered about the coronavirus omicron variant’s potential damage to the regional economy following mixed cues from Wall Street. (AP Photo/Eugene Hoshiko)

BEIJING (AP) — Asian stock markets were mixed Thursday after Wall Street hit a high and new daily U.S. coronavirus cases surged to a record.

Tokyo and Seoul declined while Shanghai and Hong Kong advanced.

Wall Street gained Wednesday for its 70th record high of 2021.

Optimism was tempered by data showing new U.S. virus cases have risen to an average of 265,000 per day, driven largely by the more contagious omicron variant.

Markets are “hanging onto thin optimism” while health care resources do a “balancing act,” Tan Boon Heng of Mizuho Bank said in a report.

The Shanghai Composite Index rose 0.8% to 3,625.46 while the Nikkei 225 in Tokyo shed less than 0.1% to 28,886.09. The Hang Seng in Hong Kong advanced 0.7% to 23,237.27.

The Kospi in Seoul declined 0.2% to 2,987.84 and Sydney’s S&P-ASX 200 was off less than 0.1% at 7,504.90. New Zealand and Bangkok gained while Singapore and Jakarta retreated.

Wall Street’s benchmark S&P 500 index rose 0.1% to 4,793.06. The Dow Jones Industrial Average added 0.2% to 36,488.63. The Nasdaq composite slipped 0.1% to 15,766.22.

The S&P 500 is on track for a gain of more than 27% in 2021.

The benchmark, which also set records on Monday and on Dec. 23, hit more new highs in 2021 than in any year since the 77 in 1954. The Dow set a record in early November.

Investors have been encouraged by stronger corporate profits and advances in vaccine development and virus treatment.

That has been tempered by Federal Reserve’s decision to try to cool U.S. inflation, which is at a nearly four-decade high, by rolling back stimulus that has boosted stock prices.

On Wednesday, the S&P 500 was lifted by gains in health care, technology and consumer-oriented stocks.

Biogen jumped 9.5% for the biggest gain in the index. Target, Nike, supermarket operator Kroger and auto products retailer AutoZone rose 1.3% or more.

Facebook parent Meta Platforms slipped 0.9%, Exxon Mobil dropped 0.9% and Morgan Stanley fell 1.2%.

Trading was lighter as investors closed out positions for the year. Fewer than 3 billion shares traded hands on the New York Stock Exchange compared with a typical daily average of 4.5 billion.

Investor concerns about the omicron variant eased after researchers said it appears to cause less severe symptoms and President Joe Biden avoided announcing travel or other restrictions that might weigh on economic activity.

Still, markets are uncertain about the impact of omicron, which is spreading fast and quickly becoming the dominant variant.

In energy markets, benchmark U.S. crude rose 38 cents to $76.95 per barrel in electronic trading on the New York Mercantile Exchange. The contract advanced 58 cents to $76.56 on Wednesday. Brent crude, the price basis for international oils, gained 38 cents to $79.59 per barrel in London. It closed 29 cents higher the previous session at $79.23.

The dollar rose to 115.02 yen from Wednesday’s 114.97 yen. The euro edged up to $1.1349 from $1.1344.

Copyright 2022 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Business News

More Business News

Political News

More Political News

Technology News

More Technology News

Science News

More Science News

Entertainment News

More Entertainment News

Odd News

More Odd News

Associated Bank Market Outlooks and Thought Leaders

More The Opening Bell