US Stock Indices Drift Closer To Records

Tokyo: Shares were mostly higher Tuesday in Asia after US stock indexes drifted closer to records, while oil prices extended gains. The futures for the S&P 500 and the Dow Jones Industrial Average fell 0.3 per cent. Markets in China advanced despite a report showing manufacturing activity slowed in May, even after China and the US paused tariff hikes to allow time for talks.

In early European trading, Germany’s DAX climbed 0.3 per cent to 23,996.47, while the CAC 40 in Paris edged 0.2 per cent higher to 7,747.72. Britain’s FTSE 100 was up less than 0.1 per cent at 8,779.65.

Hong Kong’s Hang Seng jumped 1.5 per cent to 23,501.55, while the Shanghai Composite index rose 0.4 per cent to 3,361.98. Tokyo’s Nikkei 225 edged 0.1 per cent lower to 37,446.81. In Australia, the S&P/ASX 200 climbed 0.6 per cent to 8,466.70. In Taiwan, the Taiex gained 0.6 per cent. Beijing and Washington dialled back trade friction slightly as the US extended exemptions for tariffs on some Chinese goods, including solar manufacturing equipment, that US industries rely on for their own production. The US Trade Representative extended those exemptions, which were due to expire on May 31, by three months through Aug 31.

On Monday, US stock indexes drifted closer to their records following a stellar May, Wall Street’s best month since 2023. The S&P 500 rose 0.4 per cent and the Dow industrials added 0.1 per cent. The Nasdaq composite climbed 0.7 per cent. Trump has been warning that US businesses and households could feel some pain as he tries to use tariffs to bring more manufacturing jobs back to the country, and their on-and-off rollout has created lots of uncertainty.

Adding to uncertainty in the European region already enduring war in Ukraine, Poland elected Karol Nawrocki, a conservative historian and staunch nationalist, as its next president in a closely watched vote that signalled a resurgence of right-wing populism in the heart of Europe. Nawrocki has voiced support for Ukraine’s defence against Russian aggression but does not back Ukrainian membership in NATO and has questioned the long-term costs of aid — particularly support for refugees.