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Asian equities mostly rose Thursday, cheered by another tech-fuelled run-up on Wall Street after Donald Trump’s huge AI investment announcement, as traders assessed the outlook for the next four years under the new president.Shanghai was among the main winners, eating into year-to-date losses after China unveiled a fresh batch of measures aimed at boosting the country’s stock markets as part of Beijing’s moves to provide support to the stuttering economy.Global investors have largely welcomed the first few days of Trump 2.0 as he held off immediately returning to the hardball trade policies of his first term, having pledged to impose stiff tariffs on key partners within hours of returning to the Oval Office.However, warnings that China, the European Union, Canada and Mexico could be hit as soon as February 1 have given cause for concern.Tech titans including Nvidia, Microsoft and Arm helped lead a surge in New York, pushing the S&P 500 to within a whisker of a record, after Trump announced a new $500-billion venture to build infrastructure for artificial intelligence in the United States.Tokyo-listed SoftBank was named in the venture along with cloud giant Oracle and ChatGPT-maker OpenAI and soared more than 10 percent on the news Wednesday. It extended the rally Thursday, piling more than five percent even after key Trump ally and world’s richest man Elon Musk cast doubt on the scheme and said the main investors “don’t actually have the money”.The advance in SoftBank helped Tokyo build on this week’s gains, while Singapore, Wellington, Manila, Mumbai and Jakarta also rose.Shanghai advanced after authorities unveiled measures to steady the market and unblock bottlenecks, including allowing pension funds to invest in listed companies and push firms to boost share purchases.However, Hong Kong gave up early gains to end lower while there were also losses in Sydney and Bangkok.Seoul shed more than one percent after South Korea’s central bank said the economy grew in the fourth quarter at its slowest pace of 2024 as the country was hit by the fallout from impeached President Yoon Suk Yeol’s brief declaration of martial law.It also expanded less than expected through the entire year as the political chaos hit consumer confidence.The dollar edged up against the yen ahead of the Bank of Japan’s Friday policy decision, with observers widely expecting it to hike interest rates for the third time since March.”Economic data continues to support the BoJ’s case for a rate hike,” said Gregor Hirt at Allianz Global Investors, pointing to upward momentum in core consumer prices.”Wage growth remains a crucial factor. While governor (Kazuo) Ueda previously indicated the need for ‘one more notch of information’ before hiking, deputy governor (Ryozo) Himino recently noted strong wage momentum in BoJ branch managers’ assessments.”This may encourage action before actual Shunto wage data becomes available in March,” he said, referring to annual wage negotiations with unions in the spring. “The yen’s renewed weakness adds pressure to act.”London dropped at the open after ending Wednesday at a record high, though Frankfurt hit a new peak and Paris also rose.- Key figures around 0815 GMT -Tokyo – Nikkei 225: UP 0.8 percent at 39,958.87 (close)Hong Kong – Hang Seng Index: DOWN 0.4 percent at 19,700.56 (close)Shanghai – Composite: UP 0.5 percent at 3,230.16 (close)London – FTSE 100: DOWN 0.1 percent at 8,536.05Euro/dollar: DOWN at $1.0400 from $1.0425 on WednesdayPound/dollar: DOWN at $1.2300 from $1.2313Dollar/yen: UP at 156.52 yen from 156.45 yenEuro/pound: UP at 84.55 pence from 84.48 penceWest Texas Intermediate: DOWN 0.2 percent at $75.28 per barrelBrent North Sea Crude: DOWN 0.2 percent at $78.88 per barrelNew York – Dow: UP 0.3 percent at 44,156.73 (close)

Donald Trump is back in the White House, promising to use the United States’s vast economic weight to hit back at China for its alleged unfair trade practices and role in the deadly American fentanyl crisis.This week, the mercurial magnate said 10 percent tariffs on all Chinese imports could kick in on February 1 — and on the campaign trail touted a levy as high as 60 percent.China has warned that there are “no winners” in a trade war and vowed to defend its economic interests.Here’s where the China-US trade relationship stands:- How much trade is at stake? -Trade between China and the United States — the world’s two largest economies — is vast, totalling more than $530 billion in the first eleven months of 2024, according to Washington.Over that same period, sales of Chinese goods to the United States totalled more than $400 billion, second only to Mexico.According to the Peterson Institute of International Economics (PIIE), China is the dominant supplier of goods from electronics and electrical machinery, to textiles and clothing. But a yawning trade imbalance — $270.4 billion for January to November last year — has long raised hackles in Washington.As has China’s vast state support for its industry, sparking accusations of dumping, as well as its perceived mistreatment of US firms operating in its territory.But China’s economy remains heavily reliant on exports to drive growth despite official efforts to raise domestic consumption — making its leaders reluctant to change the status quo.- What happened during Trump’s first term? -Trump stormed into the White House in 2016 vowing to get even with China, launching a trade war that slapped significant tariffs on hundreds of billions of dollars of Chinese goods.China responded with retaliatory tariffs on American products — particularly affecting US farmers.Key US demands were greater access to China’s markets, broad reform of a business playing field that heavily favours Chinese firms, and a loosening of heavy state control by Beijing.After long, fraught negotiations the two sides agreed what became known as the “phase one” trade deal — a ceasefire in the nearly two-year-old trade war.Under that agreement, Beijing agreed to import $200 billion worth of US goods, including $32 billion in farm products and seafood.But in the face of the pandemic and a US recession, analysts say Beijing fell well short of that commitment.”In the end, China bought only 58 percent of the US exports it had committed to purchase under the agreement, not even enough to reach its import levels from before the trade war,” PIIE’S Chad P Brown wrote.”Put differently, China bought none of the additional $200 billion of exports Trump’s deal had promised.”- How did things change under Biden? -Trump’s successor Joe Biden did not roll back increases imposed by his predecessor, but took a more targeted approach when it came to tariff hikes.Under Biden, Washington expanded efforts to curb exports of state-of-the-art chips to China — part of a broader effort to prevent sensitive US technologies being used in Beijing’s military arsenal. His administration has also used tariffs to take aim at what it called China’s “industrial overcapacity” — fears the country’s industrial subsidies for green energy, cars and batteries could flood global markets with cheap goods.Last May, Biden ordered $18 billion worth of imports from China be slapped with tariffs, accusing Beijing of “cheating” rather than competing.Under the hikes, tariffs on EVs quadrupled to 100 percent, while the tariff for semiconductors will surge from 25 percent to 50 percent.The measures also targeted strategic sectors such as batteries, critical minerals and medical products.Both sides have also launched investigations into the others’ alleged unfair trade practices with probes into dumping and state subsidies.- What happens next? – With Biden gone, all eyes are on whether Trump will follow through on these threats — or if the rhetoric was an opening gambit in negotiations. Trump has long viewed tariffs as a bargaining tool — an “all-purpose bludgeon”, according to a Wall Street Journal editorial.He has also tied tariffs to the fate of Chinese-owned social media app TikTok — warning of retaliation if a deal cannot be struck to sell it. Many breathed a sigh of relief when a “shock and awe” blitz of executive orders signed on Trump’s first day in office did not feature tariffs on Chinese goods. But Trump did order a sweeping review by top officials into a number of Chinese trade practices — with reports due by April 1.”Although no immediate tariff hike is an upside surprise, extended uncertainty may still weigh on confidence,” HSBC economists wrote in a note Wednesday.”That said, the lack of concrete tariffs at this juncture may suggest that Trump is open to further negotiations with China,” they added.

South Korea’s economy grew less than expected in the fourth quarter, data showed Thursday, as it was hit by the fallout from President Yoon Suk Yeol’s brief declaration of martial law that hit consumer confidence and domestic demand.The ongoing political crisis comes as leaders of the export-reliant country prepare for the second US presidency of Donald Trump, who has warned key trading partners that he will hit them with painful tariffs.The brief declaration of martial law on December 3 by South Korea’s now-impeached leader jolted Asia’s fourth-biggest economy, which the central bank said expanded 0.1 percent on-quarter in October-December and 1.2 percent on-year.For the full year, the economy grew two percent, which was an improvement on 2023 but 0.2 percentage points below forecasts.The Bank of Korea earlier this week warned that the martial law declaration and December 29 Jeju Air plane crash that killed 179 had “significantly dampened economic sentiment”.In that forecast it also revised its 2025 growth forecast down to 1.6-1.7 percent from an earlier projection of 1.9 percent.”Korea’s economy continued to struggle in Q4 and we suspect that the weakness in activity could persist in the near term due to the ongoing political crisis,” said Shivaan Tandon at Capital Economics.”Domestic demand remains the main source of the weakness in the economy,” he said in a note, pointing to slowing growth in consumer spending. “The weakness of consumption in Q4 is in line with the latest consumer confidence and labour market data and suggests that perhaps the ongoing political crisis has already started to weigh on growth,” he added.- Growing tariff fears -Yoon’s brief suspension of civilian rule sw him deploy soldiers to parliament but lawmakers voted the measure down and later impeached him. He is now being held for a criminal probe on insurrection charges and also faces impeachment hearings.Soon after the crisis erupted consumer sentiment fell to its lowest level since the Covid-19 pandemic. Even after the impeachment, the won plunged against the dollar and the country’s unemployment rate recently spiked to its highest level since 2021.”The anaemic growth in South Korea’s GDP in the fourth quarter shows that the political crisis sparked by (Yoon’s) failed martial law attempt is hitting the economy more than the Bank of Korea anticipated,” Bloomberg economist Hyosung Kwon wrote. “That leaves the door open for the central bank to resume cutting rates at its February meeting.” The figures come after the government this week unveiled a $250 billion support package for exporters amid growing concern over possible tariffs from the Trump administration.South Korea, heavily dependent on exports and driven by key industries such as advanced chips produced by conglomerates Samsung Electronics and SK hynix, saw exports rise 6.9 percent on-year in 2024.The volume of imports also recorded an annual increase of 2.4 percent.Meanwhile, SK hynix posted on Thursday reported record sales in the fourth quarter, marking a 75 percent surge on-year to 19.7 trillion won ($13.7 billion) thanks to its strong performance in churning out highly advanced chips used in artificial intelligence. SK has been supplying US titan Nvidia with its high-bandwidth memory (HBM) chips, which are used for in the highly competitive AI sector.SK said the strong numbers demonstrated the “possibility of stable profit gain by supplying product in right time to meet customers’ needs”, it said in a press release.

Asian equities mostly rose Thursday, cheered by another tech-fuelled run-up on Wall Street after Donald Trump’s huge AI investment announcement, as traders assessed the outlook for the next four years under the new president.Shanghai led the winners, eating into year-to-date losses after China unveiled a fresh batch of measures aimed at boosting the country’s stock markets as part of Beijing’s moves to provide support to the stuttering economy.Global investors have largely welcomed the first few days of Trump 2.0 as he held off immediately returning to the hardball trade policies of his first term, having pledged to impose stiff tariffs on key partners within hours of returning to the Oval Office.However, warnings that China, the European Union, Canada and Mexico could be hit as soon as February 1 have given cause for concern.Tech titans including Nvidia, Microsoft and Arm helped lead a surge in New York, pushing the S&P 500 to within a whisker of a record, after Trump announced a new $500-billion venture to build infrastructure for artificial intelligence in the United States.Tokyo-listed SoftBank was named in the venture along with cloud giant Oracle and ChatGPT-maker OpenAI and soared more than 10 percent on the news Wednesday. And it extended the rally Thursday, piling more than five percent even after key Trump ally and world’s richest man Elon Musk cast doubt on the scheme and said the main investors “don’t actually have the money”.The advance in SoftBank helped Tokyo build on this week’s gains, while Singapore, Wellington and Jakarta also rose.Shanghai added more than one percent and Hong Kong advanced after authorities unveiled measures to steady the market and unblock bottlenecks, including allowing pension funds to invest in listed companies and push firms to boost share purchases.However, there were losses in Sydney and Manila.Seoul was the biggest loser after South Korea’s central bank said the economy grew in the fourth quarter at its slowest pace of 2024 as the country was hit by the fallout from impeached President Yoon Suk Yeol’s brief declaration of martial law.It also expanded less than expected through the entire year as the political chaos hit consumer confidence.The dollar edged up against the yen ahead of the Bank of Japan’s Friday policy decision, with observers widely expecting it to hike interest rates for the third time since March.”Economic data continues to support the BoJ’s case for a rate hike,” said Gregor Hirt at Allianz Global Investors, pointing to upward momentum in core consumer prices.”Wage growth remains a crucial factor. While governor (Kazuo) Ueda previously indicated the need for ‘one more notch of information’ before hiking, deputy governor (Ryozo) Himino recently noted strong wage momentum in BoJ branch managers’ assessments.”This may encourage action before actual Shunto wage data becomes available in March. The yen’s renewed weakness adds pressure to act.”- Key figures around 0230 GMT -Tokyo – Nikkei 225: UP 0.5 percent at 39,830.11 (break)Hong Kong – Hang Seng Index: UP 0.5 percent at 19,873.70Shanghai – Composite: UP 1.4 percent at 3,258.57Euro/dollar: DOWN at $1.0405 from $1.0425 on WednesdayPound/dollar: DOWN at $1.2307 from $1.2313Dollar/yen: UP at 156.51 yen from 156.45 yenEuro/pound: UP at 84.54 pence from 84.48 penceWest Texas Intermediate: DOWN 0.4 percent at $75.17 per barrelBrent North Sea Crude: DOWN 0.3 percent at $78.73 per barrelNew York – Dow: UP 0.3 percent at 44,156.73 (close)London – FTSE 100: FLAT at 8,545.13 (close)

Bangladeshi students braved bullets to overthrow an autocratic government, but six months after the revolution, many say finding a job is proving a harder task than manning the barricades.Dhaka University student Mohammad Rizwan Chowdhury’s dreams of ample opportunities for youth have been badly dented, saying he had seen little action from the caretaker government of Nobel Peace Prize winner Muhammad Yunus.”I can’t see any fruitful initiatives taken by the government so far,” Chowdhury grumbled, a25-year-old student who took part in the protests that drove autocratic ex-leader Sheikh Hasina into exile on August 5.Unemployment was a key driver of protests last year. Since the revolution, it has only grown worse.At the end of September 2024, the number of people seeking employment in the country of 170 million hit 2.66 million, a six-percent increase from 2.49 million the year before, according to the Bangladesh Bureau of Statistics (BBS).The International Monetary Fund warned in September that economic activity had “slowed markedly, while inflation remains at double-digit levels”, with tax revenues down while spending pressures had increased.For many, the euphoria of Hasina’s ouster is fading.Chowdhury said that while Yunus handed cabinet posts to student leaders, he felt demands were being ignored.”Although our representatives are part of the administration, I’m not sure whether our voices are being heard,” the political science graduate said.- ‘Whatever jobs they can’ -Literature graduate Shukkur Ali, 31, scrapes by on odd jobs to support his elderly and sick parents.”I do anything and everything just to cover the bare minimum,” he told AFP, adding that newspaper job advertisements have dried up.”I used to apply only for white-collar jobs in educational institutions or banks — but failed,” he said. “Now, anything is good for me. I just want a job.”Independent analyst Zahid Hussain,71, former lead economist at the World Bank in Dhaka, said that around a third of the working labour force are “underemployed doing whatever jobs they can to pay the bills”.Bangladesh’s economy grew dramatically after its independence in 1971.That was largely due to its textile industry producing global brands in a multi-billion dollar business as the world’s second-largest garment exporter.But jobs outside the crowded clothing factories for university graduates are far fewer.Educated Bangladeshis make up 87 percent of those without work, according to BBS figures.The government says it is making every effort to address the issue.Shafiqul Alam, Yunus’ press secretary, said robust tax generation would allow the government to invest in the public sector and create a “huge” number of jobs.”Ensuring better revenue collection is a priority, as the previous government left behind a broken economy,” Alam said.- ‘Empty-handed’ -But Yunus, an 84-year-old microfinance pioneer, is also swept up in what he calls the “extremely tough” challenge of restoring democratic institutions ahead of elections slated for this year or early 2026.Those reforms include an overhaul of the constitution and the public administration to prevent a return to autocracy.”The interim government is preoccupied with managing the mess they inherited,” said Hussain, adding there were only “sporadic attempts” to support the youth, such as hiring students to assist traffic police.”The administration isn’t functioning at full speed,” he said. “I’d rate them 50 out of 100.”Challenges are daunting.”The public sector can recruit no more than 20,000 to 25,000 graduates, while around 700,000 graduates leave colleges each year,” said AKM Fahim Mashroor, chief of popular online job site Bdjobs.The private sector provides around 85 percent of jobs, but there is little optimism there either.”Both the public and private sectors have been slow in recruiting since August 5,” he added.And the unrest has spooked investors.Bangladesh’s central bank says foreign investment between July and November 2024 was $177 million — less than a third of the $614 million secured under Hasina’s iron-fisted rule during the same period the previous year.Taskeen Ahmed, president of the Dhaka Chamber of Commerce and Industry, said the government should roll out programmes to support young job-seekers including “loan schemes for youth to start businesses”.Some like Subir Roy, a 31-year-old finance graduate who was nominated to a government job only for it to be rescinded without reason, said it was already too late for him.”My father sold a small piece of land to send me to university… now I’m returning home empty-handed,” Roy said. “I’ll join my father in the paddy field.”

US and European stock markets mostly pushed higher Wednesday as investors tracked earnings and President Donald Trump’s policy plans as artificial intelligence shares rallied.However, Hong Kong and Shanghai’s indices fell after Trump warned China could be included in a list of countries to be hit with tariffs on February 1.The latest batch of corporate earnings helped boost sentiment on Wall Street, with the S&P 500 flirting with a record high. Netflix soared nearly 10 percent after it reported adding almost 19 million subscribers during the holiday season to finish last year with more than 300 million globally.Shares of AI-linked companies such as Arm, Microsoft and Nvidia also advanced following a White House announcement of some $500 billion in new artificial intelligence infrastructure, while Procter & Gamble and Seagate Technology were among the equities advancing after earnings reports.A retreat in US government bond yields after last week’s spike has also reassured equities investors.In Europe, the London and Frankfurt stock markets continued to hit record highs, helped by currency movements.London’s FTSE 100 index was supported by “a weak pound that allows investors to buy UK companies with international businesses at cheaper prices,” noted Swissquote Bank senior analyst Ipek Ozkardeskaya.The FTSE 100 ended the day a tad lower, however, while the DAX set a new record closing high.European stocks are rising on the coattails of “America’s changed economic policy, which has allowed European stocks to play catch up for now,” said Kathleen Brooks, research director at XTB.Oil prices slid further after tumbling Tuesday in reaction to Trump’s announcement of a “national energy emergency” to ramp up drilling in the United States.Traders have been bracing for Trump 2.0 since his reelection in November, with an initial rally — fueled by hopes of market-boosting measures — giving way to worries he would resume his trade war with China and also target others.There had been optimism that Beijing would avoid being targeted in an early flurry of duties by the White House after Trump said Monday he would first hit Canada and Mexico. But he broadened his targets Tuesday to include China and the European Union.Shares in software investment giant SoftBank soared more than 10 percent Wednesday — leading Tokyo-listed chipmakers higher — after Trump said it was included in a new $500-billion venture to build infrastructure for artificial intelligence in the United States.Tokyo’s Nikkei 225 piled on more than one percent thanks to SoftBank’s advance fueled by news that it will be part of the Stargate venture along with cloud giant Oracle and ChatGPT-maker OpenAI.Shares in Oracle rose by 6.8 percent. OpenAI is a privately held company.Shares in ASML, the Dutch firm which makes the equipment to manufacture the most powerful chips used for AI projects, rose 2.3 percent in Amsterdam.- Key figures around 2200 GMT -New York – Dow: UP 0.3 percent at 44,156.73 (close)New York – S&P 500 UP 0.6 percent at 6,086.37 (close)New York – Nasdaq Composite: UP 1.3 percent at 20,009.34 (close)London – FTSE 100: DOWN less than 0.1 percent at 8,545.13 (close)Paris – CAC 40: UP 0.9 percent at 7,837.40 (close)Frankfurt – DAX: UP 1.0 percent at 21,254.27 (close)Tokyo – Nikkei 225: UP 1.6 percent at 39,646.25 (close)Hong Kong – Hang Seng Index: DOWN 1.6 percent at 19,77 (close)Shanghai – Composite: DOWN 0.9 percent at 3,213.62 (close)Euro/dollar: DOWN at $1.0425 from $1.0428 on TuesdayPound/dollar: DOWN at $1.2313 from $1.2350Dollar/yen: UP at 156.45 yen from 155.52 yenEuro/pound: UP at 84.48 pence from 84.43 penceBrent North Sea Crude: DOWN 0.3 percent at $79.00 per barrelWest Texas Intermediate: DOWN 0.4 percent at $75.42 per barrelburs-jmb/bfm

Procter & Gamble is seeing encouraging signs in China, but a full recovery is still a ways off, executives said Wednesday as the consumer products giant reported solid earnings.P&G, whose brands include Tide detergent and Charmin toilet paper, saw improvement in China in the just-finished quarter in sales of SK-II, a premium skin care product.Chief Executive Jon Moeller also pointed to an uptick in the number of Chinese travelers to South Korea and Japan, as an indication of “more confidence and a willingness to spend” among some in the population. But Moeller noted that SK-II is “very premium-priced product” and “the broad swath of society is still not confident and is still struggling,” he told analysts on a conference call.The comments came as P&G reported profits of $4.6 billion in its fiscal second quarter, up 34 percent on revenues of $21.9 billion, up two percent.P&G also confirmed its earnings forecast for fiscal 2025, a year in which it projects sales growth of two to four percent. Executives highlighted product launches including a whole-body deodorant spray and a new advanced power toothbrush as elements that would sustain sales growth.P&G experienced a three percent drop in organic sales in its Greater China division. Although still shrinking, Chief Financial Officer Andre Schulten described the performance as “a solid step forward” compared with the 15 percent decline in the prior quarter.While “underlining market conditions remain soft,” Schulten said “we are trending back toward growth in Greater China.”Sales of SK-II, which is manufactured in Japan, have been hampered in recent quarters in China due to anti-Japan sentiment in the country.But Moeller, citing fewer negative social media mentions in China, described the climate as improving, saying “the whole dynamic of Japanese brand sentiment, I think, is easing.”P&G shares rose 3.0 percent in late-morning trading.

US and European stock markets pushed higher Wednesday as investors tracked earnings and President Donald Trump’s policy plans that are starting to impact the global economy.However, Hong Kong and Shanghai indices fell Wednesday after Trump warned China could be included in a list of countries to be hit with tariffs on February 1.Meanwhile, the dollar “struggled to find a clear direction and traded in a narrow range as market participants sought clarity on Trump’s trade policies”, noted Joseph Dahrieh, analyst at traders Tickmill.The latest batch of corporate earnings helped boost sentiment on Wall Street, with the S&P 500 near a record high. Shares in Netflix soared more than 12 percent after it reported adding almost 19 million subscribers during the holiday season to finish out last year with more than 300 million globally.And while the inflationary impact of Trump’s tariff plans gave investors cold sweats in December, they are proving more sanguine this week.”Thus far, the stock market has not found reason to fear the tariff approach for a variety of reasons: it isn’t as onerous as expected at this stage; there hasn’t been a retaliatory tit-for-tat; and there is a belief it is more of a negotiating tactic than an official policy,” said Briefing.com analyst Patrick O’Hare.A retreat in US government bond yields after last week’s spike has also reassured equities investors.In Europe, the London and Frankfurt stock markets continued to hit record highs, helped by currency movements.London’s FTSE 100 index was supported by “a weak pound that allows investors to buy UK companies with international businesses at cheaper prices”, noted Swissquote Bank senior analyst Ipek Ozkardeskaya.Plans by the European Central Bank to keep cutting interest rates in the eurozone has weighed on the euro — although both the single currency and pound won back some support Wednesday.Oil prices slid further after having tumbled Tuesday in reaction to Trump’s announcement of a “national energy emergency” to ramp up drilling in the United States.Traders have been bracing for Trump 2.0 since his re-election in November, with an initial rally — fuelled by hopes for market-boosting measures — giving way to worries he would resume his trade war with Beijing and also target others.There had been optimism that Beijing would avoid being targeted in an early flurry of duties by the White House after Trump said Monday he would first hit Canada and Mexico. But he broadened his targets Tuesday to include China and the European Union.There is also a concern that Trump’s plans to slash taxes, immigration and regulations will reignite inflation and crimp the Federal Reserve’s ability to cut interest rates.Shares in software investment giant SoftBank soared more than 10 percent Wednesday — leading Tokyo-listed chipmakers higher — after Trump said it was included in a new $500-billion venture to build infrastructure for artificial intelligence in the United States.Tokyo’s Nikkei 225 piled on more than one percent thanks to SoftBank’s advance fuelled by news that it will be part of the Stargate venture along with cloud giant Oracle and ChatGPT-maker OpenAI.Japanese chipmakers also rose, with Advantest up four percent, while Tokyo Electron and Lasertec gained more than one percent.- Key figures around 1430 GMT -New York – Dow: UP 0.3 percent at 44,152.85 pointsNew York – S&P 500: UP 0.5 percent at 6,078.67New York – Nasdaq Composite: UP 0.8 percent at 19,914.11London – FTSE 100: UP less than 0.1 percent at 8,555.40Paris – CAC 40: UP 0.9 percent at 7,836.87Frankfurt – DAX: UP 1.2 percent at 21,285.99Tokyo – Nikkei 225: UP 1.6 percent at 39,646.25 (close)Hong Kong – Hang Seng Index: DOWN 1.6 percent at 19,778.77 (close)Shanghai – Composite: DOWN 0.9 percent at 3,213.62 (close)Euro/dollar: DOWN at $1.0420 from $1.0426 on TuesdayPound/dollar: DOWN at $1.2332 from $1.2342Dollar/yen: UP at 156.04 yen from 155.50 yenEuro/pound: UP at 84.47 pence from 84.45 penceBrent North Sea Crude: DOWN 0.1 percent at $79.20 per barrelWest Texas Intermediate: UP 0.1 percent at $75.75 per barrelburs-rl/gv

European stock markets rallied and Chinese indices slid Wednesday in reaction to US President Donald Trump’s policy plans that are starting to impact the global economy.Wall Street jumped Tuesday in its first reaction following Trump’s inauguration.Hong Kong and Shanghai indices retreated Wednesday after the president warned China could be included in a list of countries to be hit with tariffs on February 1.The dollar “struggled to find a clear direction and traded in a narrow range as market participants sought clarity on Trump’s trade policies”, noted Joseph Dahrieh, analyst at traders Tickmill.In Europe, the London and Frankfurt stock markets continued to hit record highs, helped by currency movements.London’s FTSE 100 index was winning support from “a weak pound that allows investors to buy UK companies with international businesses at cheaper prices”, noted Swissquote Bank senior analyst Ipek Ozkardeskaya.Plans by the European Central Bank to keep cutting interest rates in the eurozone has weighed on the euro — although both the single currency and pound won back some support Wednesday.Oil prices recovered slightly having tumbled Tuesday in reaction to Trump’s announcement of a “national energy emergency” to ramp up drilling in the United States.Investors are poring over also the latest earnings season.Netflix added almost 19 million subscribers during the holiday season to finish out last year with more than 300 million subscribers, the US streaming giant announced after the Wall Street close Tuesday.Traders have been bracing for Trump 2.0 since his re-election in November, with an initial rally — fuelled by hopes for market-boosting measures — giving way to worries he would resume his trade war with Beijing and also target others.There had been optimism that Beijing would avoid being targeted in an early flurry of duties by the White House after Trump said Monday he would hit Canada and Mexico. But he broadened his targets Tuesday to include China and the European Union.There is also a concern that Trump’s plans to slash taxes, immigration and regulations will reignite inflation and crimp the Federal Reserve’s ability to cut interest rates.Shares in software investment giant SoftBank soared more than 10 percent Wednesday — leading Tokyo-listed chipmakers higher — after Trump said it was included in a new $500-billion venture to build infrastructure for artificial intelligence in the United States.Tokyo’s Nikkei 225 piled on more than one percent thanks to SoftBank’s advance fuelled by news that it will be part of the Stargate venture along with cloud giant Oracle and ChatGPT-maker OpenAI.Japanese chipmakers also rose, with Advantest up four percent, while Tokyo Electron and Lasertec gained more than one percent.- Key figures around 1050 GMT -London – FTSE 100: UP 0.3 percent at 8,575.89 pointsParis – CAC 40: UP 0.7 percent at 7,825.47Frankfurt – DAX: UP 1.1 percent at 21,276.64Tokyo – Nikkei 225: UP 1.6 percent at 39,646.25 (close)Hong Kong – Hang Seng Index: DOWN 1.6 percent at 19,778.77 (close)Shanghai – Composite: DOWN 0.9 percent at 3,213.62 (close)New York – Dow: UP 1.2 percent at 44,025.81 (close)Euro/dollar: UP at $1.0450 from $1.0426 on TuesdayPound/dollar: UP at $1.2367 from $1.2342Dollar/yen: UP at 155.78 yen from 155.50 yenEuro/pound: UP at 84.53 pence from 84.45 penceBrent North Sea Crude: UP 0.6 percent at $79.78 per barrelWest Texas Intermediate: UP 0.8 percent at $76.39 per barrel

Panama has complained to the United Nations over US President Donald Trump’s “worrying” threat to seize the Panama Canal, even as it launched an audit of the Hong Kong-linked operator of two ports on the interoceanic waterway.In a letter to UN Secretary-General Antonio Guterres, the government in Panama City referred to an article of the UN Charter precluding any member from “the threat or use of force” against the territorial integrity or political independence of another.The missive, distributed to reporters Tuesday, urges Guterres to refer the matter to the UN Security Council, without asking for a meeting to be convened.Trump, in his inaugural address Monday, repeated his complaint that China was effectively “operating” the Panama Canal through its growing presence around the waterway, which the United States handed over at the end of 1999.”We didn’t give it to China, we gave it to Panama. And we’re taking it back,” Trump said.Panama’s President Jose Raul Mulino hit back that the canal was not a gift from the United States during a panel at the World Economic Forum in Davos, Switzerland.”We reject in its entirety everything that Mr Trump has said. First because it is false and second because the Panama Canal belongs to Panama and will continue to belong to Panama,” Mulino said Wednesday.The president has previously denied that any other nation was interfering in the canal, which he said was operated on a principle of neutrality.Asked Wednesday about the spat, Beijing denied it had ever “interfered” in the canal.”China has always respected Panama’s sovereignty over the canal and recognized the canal as a permanent neutral international waterway,” foreign ministry spokeswoman Mao Ning said.- US pressure -The Panamanian comptroller’s office that oversees public entities announced “an exhaustive audit” would be launched “aimed at ensuring the efficient and transparent use of public resources” at the Panama Ports Company.The company, part of Hutchison Ports, a subsidiary of Hong Kong-based conglomerate CK Hutchison Holdings, operates the ports of Balboa and Cristobal on either end of the canal.The comptroller’s office said the aim was to determine whether the company was complying with its concession agreements, including adequate reporting of income, payments and contributions to the state.Hutchison Ports PPC said in a statement that it has “maintained and will continue to maintain a transparent and collaborative relationship” with Panamanian authorities.”We remain steadfast in our commitment to comply with all laws and regulations, fully exercising our contractual responsibilities,” the firm said.”Our financial results, audited by an independent external auditor, have been shared annually with our partner, the Panamanian State, ensuring trust and clarity in our management.”Trump has been raising pressure for weeks over the canal, through which 40 percent of US container traffic travels. He has refused to rule out using military force to reclaim it.The Panama Ports Company’s concession agreement was extended by 25 years in 2021.The United States is the canal’s main user, followed by China.Since 2000, the waterway has contributed more than $30 billion to Panama’s state coffers, including nearly $2.5 billion in the last fiscal year.burs-raz/mtp