Global equities retreat as US-China tensions rise

Global equities retreat as US-China tensions rise

The Shenzhen Component Index closed 0.03 percent higher at 13,661.5 points.

European stocks gave up most of their early gains with most Asian markets down and Wall Street equities fell after U.S. initial jobless claims pointed to renewed lockdowns taking a heavy toll on the stuttering economy, reports Agence France-Presse.

Manufacturers of ships and aircraft were among the biggest winners, with shares of Cssc Science & technology Co., Ltd. surging by the daily limit of 10 percent.

Manila, Jakarta and Wellington were around 0.5 percent lower, though Taipei edged up and Seoul was flat.

Wall Street is also preparing for a rough start Friday: Futures for the Dow (INDU), S&P 500 (SPX) and Nasdaq (COMP) all slumped at least 0.8% overnight, with Nasdaq futures falling 1.5%. Extra benefits for those out-of-work Americans from the federal government are set to expire soon, and worries are rising about whether Congress can reach a deal on more aid for the economy. This week's stall for the S&P 500 follows three straight weekly gains driven by hopes that the economy was regaining its footing.

"The Fed is the big story behind this market, that and the liquidity it's provided", said Teresa Jacobsen, managing director at UBS Private Wealth Management. "But, there are momentary blips when we pause and give a little back". China announced on Friday that it ordered the United States to shut its consulate in Chengdu, following the USA demanding the closure of the Chinese consulate in Houston.

North Korea convenes emergency meeting after suspected COVID-19 case reported
But it's rare for North Korean refugees to return to their homeland by crossing the mine-strewn inter-Korean border. It once hosted the Koreas' jointly run industrial complex, which remains stalled since 2016 amid nuclear tensions.

In early trade, London, Paris and Frankfurt rose. "We will closely monitor the implementation of the Phase 1 trade deal between the USA and China", they said.

Asian stocks were down on Thursday morning, with U.S.

"And so, while the inevitability of deteriorating US-China relations as a structural feature of our geo-political landscape was never in doubt, the shifts appear to be hastened", Narita said. Other high-flying tech-oriented giants also stumbled, including a 3.7% drop for Amazon. But critics say enthusiasm for them was overdone, with prices too high even after accounting for the huge profits that they can produce. Microsoft slid 0.6%. Intel sank 16.2% after it delayed the release of its new 7 nanometer chip.

Investors are awaiting the release later in the day of United States unemployment claims, which will provide a snapshot of the world's top economy in light of the reimposed containment measures around the country.

Gold for August delivery rose another $1.60 to $1,866.50 an ounce, after jumping $21.20 to $1,865.10 an ounce overnight in another sign investors were shifting some holdings to traditionally less risky assets.

Benchmark U.S. crude advanced, gaining 12 cents to $41.19 in electronic trading on the New York Mercantile Exchange. It fell 6 cents to settle at $41.90 a barrel Wednesday.

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