World shares trade mixed, Wall St closed for holiday

World shares were mixed on Friday in holiday-thinned trading as tech stocks slipped as a recent rebound driven by hopes for an interest rate cut by the Federal Reserve lost steam.

In early European trading, Germany’s DAX shed nearly 0.2 per cent to 23,730.81 as traders awaited inflation data set to be released later in the day. Britain’s FTSE 100 edged up 0.2 per cent to 9,708.36 on gains in energy and mining stocks.

The CAC 40 in France was nearly unchanged at 8,100.87, despite government data showing France’s economy grew 0.5 per cent quarter-on-quarter in July-September, up from 0.3 per cent in the previous quarter.

While developments related to artificial intelligence have been driving recent ups and downs in world markets, the focus remains on the outlook for US monetary policy. Recent comments by Fed officials have helped revive hopes that the central bank will act during its meeting next month.

“Everyone is sprinting toward the same conclusion: the Fed will deliver holiday cheer,” Stephen Innes of SPI Asset Management said in a commentary.

In Asia, Japan’s Nikkei 225 closed 0.2 per cent higher to 50,253.91, rebounding from losses earlier in the day. Data showed Japan’s housing starts rose 3.2 per cent in October from the same period a year ago, the first annual increase since March.

The number defied market expectations of a 5.2 per cent decline and reversed a 7.3 per cent drop in September.