World shares mixed as Wall St ends erratic day with gains

World shares were mixed Thursday with European indexes down or flat while most Asian shares rose, tracking gains on Wall Street following a topsy-turvy trading day. US futures and oil prices gained.

In early European trading, Germany’s Dax shed nearly 0.3 per cent to 24,114.48. France’s CAC 40 was almost flat at 8,079.54, while Britain’s FTSE 100 fell almost 0.2 per cent to 9,409.35. Earlier in Asia, Japan’s Nikkei 225 closed 1.3 per cent higher to 48,277.74 as investor sentiment was lifted by a strong start to the earnings season and expectations of US rate cuts.

Japan’s core machinery orders, excluding ships and electric power, fell 0.9 per cent month-on-month in August, missing market expectations for a 0.4 per cent gain. But they marked improved from a 4.6 per cent drop in July, according to data released Thursday.

South Korea’s Kospi surged to a record high, adding 2.5 per cent to 3,748.37 on buying of tech and auto stocks that was spurred by hopes for a trade deal with US Samsung Electronics and automakers Hyundai Motor and Kia Corp were among the big gainers.

In Chinese markets, Hong Kong’s Hang Seng index shed 0.1 per cent to 25,888.51, while the Shanghai Composite index added 0.1 per cent to 3,916.23. Australia’s S&P/ASX 200 closed nearly 0.9 per cent higher at 9,068.40, breaching the 9,000 level for the first time amid gains in gold stocks. Miners in resource-rich Australia are benefitting from a run-up in gold prices.

Early Thursday, the precious metal was up 0.9 per cent at 4,237.60 per ounce. Also, the jobless rate rose to 4.5 per cent in September, the highest in four years, stepping up expectations that the country’s Reserve Bank may resume rate cuts as early as next month. India’s BSE Sensex added 0.8 per cent, while Taiwan’s Taiex advanced 1.4 per cent.

On Wednesday, most US stocks rose. The S&P 500 added 0.4 per cent to 6,671.06, but only after jumping toward one of its biggest gains since the summer, erasing it all and then climbing back.

The Nasdaq composite climbed 0.7 per cent, closing at 22,670.08 after earlier pinballing between a drop of 0.4 per cent and a rally of 1.4 per cent. The Dow Jones Industrial Average lagged the market, shedding less than 0.1 per cent to 46,253.31.

Technology stocks helped lead the way Wednesday following a better-than-expected profit report from Netherlands-based ASML, a major equipment supplier to the semiconductor industry. It expects its revenue for 2025 to be 15 per cent above last year’s, while next year’s should be at least as high as this year’s.

Several big banks also drove the market higher. Companies are under pressure to deliver strong profits after their stock prices broadly surged 35 per cent from a low in April.

To justify those gains, which critics say made their stock prices too expensive, companies will need to show they’re making much more in profit and will continue to do so.

Profit reports are under more scrutiny than usual as investors seek insights into the health of the American economy. The US government’s latest shutdown is delaying important updates on the economy, such as a report on inflation that was due Wednesday.