Asian shares are mostly higher while US futures and oil prices hold steady
BANGKOK (AP) — Shares were mostly higher Monday in Asia after U.S. stocks edged back from their all-time high following a weaker than expected report on the U.S. economy.
U.S. futures were little changed and oil prices were mixed.
Tokyo’s Nikkei 225 index gained 0.3% to 68,929.33 after the Japanese government reported the economy grew slightly faster than forecast in the April-June quarter, expanding at a 1.1% annual pace even as private spending and investment stayed flat and export growth slowed. In quarterly terms, the economy grew 0.3% in the second quarter of the year.
In Hong Kong, the Hang Seng picked up 1.6% to 25,521.99, while the Shanghai Composite index rose 0.8% to 3,960.19.
Markets in South Korea were closed for a holiday.
In Australia, the S&P/ASX 200 slipped 0.4% to 9,076.90.
Taiwan's Taiex gained 0.5%, while the Sensex in India fell 0.5%.
On Friday, The S&P 500 fell 0.2% following a report that showed shoppers spent less at U.S. retailers last month. Such data could help the Federal Reserve keep interest rates low, which is positive for investors. But it also suggests growth may be slowing at a time when inflation is still high.
The Fed has no good tool to fix both a stagnating economy and high inflation at the same time, which is why what’s called “stagflation” is seen as a worst-case scenario.
The Dow Jones Industrial Average dipped 0.2%, and the Nasdaq composite shed 0.3%.
Wall Street will get financial updates from some of the nation’s biggest retailers this week.
Home Depot reports its latest results on Tuesday, followed by Target and Lowes on Wednesday and then Walmart on Thursday. The results will help give investors a more detailed picture of how businesses and consumers are handling stubbornly high inflation.
Wall Street and economists will get more details about the Federal Reserve’s interest rate policy when the central bank releases minutes from the July meeting on Wednesday.
In other dealings early Monday, Brent crude, the international standard, edged 0.1% higher to $88.62 per barrel, while U.S. benchmark crude slipped 0.3% to $82.19 per barrel.
With prospects for a deal toward ending the war with Iran unclear, the stability of oil supplies remains uncertain with the Strait of Hormuz nearly closed, blocking a vital route for oil and gas tankers from the Middle East.
The U.S. dollar fell to 159.09 Japanese yen from 159.32 yen. The euro rose to $1.1587 from $1.1588.
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