Moving markets today: Asia mixed following Wall Street’s dip, oil prices decline, Trump media firm soars in debut; US PCE inflation in spotlight
US stocks closed slightly lower after shifting direction in the final hour of trading on the second day of a shortened holiday week. Meanwhile, oil prices fell for the second consecutive day due to reports of increased crude stockpiles in the US. Notably, China’s foreign-owned and private companies experienced a significant surge in industrial profits, while the Trump Media & Technology group witnessed a remarkable 16.1 per cent increase. With minimal data releases during the holiday week, investors are eagerly awaiting the release of the Fed’s preferred inflation gauge on Friday and the publication of minutes from the Bank of England’s financial policy committee on Wednesday. Here are five key takeaways for your day.
China’s foreign-owned and private companies see surge in industrial profits
China’s industrial profits surged at the start of the year, especially among foreign-owned and private companies. According to data from the National Bureau of Statistics, industrial profits for January-February rose by 10.2 per cent year-on-year. Foreign-owned businesses saw a remarkable 31.2 per cent increase, while private companies experienced a 12.7 per cent climb, the FT reported.
State-owned enterprises, however, only saw a modest 0.5 per cent rise. This surge is likely due in part to a low base from the previous year, when China was managing COVID cases. These profit gains align with increased industrial activity observed in January and February.
UK businesses scale back hiring and wage plans: Lloyds
A survey released on Wednesday showed that British businesses have reduced their hiring and wage increase plans this month, possibly due to the significant increase in the minimum wage in April.
The Lloyds Bank Business Barometer, which measures staffing intentions, fell to 27 per cent from February’s almost two-year high of 36 per cent. The share of firms expecting significant wage increases also dropped slightly from 35 per cent to 33 per cent. Despite these changes, overall business confidence remained stable at a net 42 per cent, Reuters reported.
Market changes unveiled during your sleep
Trump Media & Technology group experienced a notable 16.1 per cent increase, closing at $57.99 after reaching as high as $79.38 on its first day of trading post a reverse merger with a blank check firm. McCormick saw a significant uptick of 10.52 per cent, emerging as the top performer on the S&P 500, propelled by surpassing market expectations for first-quarter sales and profit, Reuters reported.
Seagate Technology also saw a notable climb of 7.38 per cent after Morgan Stanley upgraded its rating to “overweight” from “equal-weight.” However, United Parcel Service encountered an 8.16 per cent drop following the unveiling of its 2026 forecast.
Oil prices drop as us crude inventories rise
Oil prices fell for the second consecutive day due to a sharp increase in U.S. crude stockpiles and indications that major producers will maintain current output levels. Brent crude futures for May dropped by 76 cents to $85.49 a barrel, while U.S. West Texas Intermediate (WTI) crude futures for May delivery fell by 65 cents to $80.97.
U.S. crude inventories rose by 9.3 million barrels, with distillate inventories also up by 531,000 barrels, according to market sources citing American Petroleum Institute data.
Wall Street stocks swing to loss, Asian markets show mixed trading
The Dow Jones Industrial Average experienced a slight dip of 0.08 per cent, reaching 39,282.33 points, while the S&P 500 and the Nasdaq Composite also saw declines, dropping by 0.28 per cent and 0.42 per cent respectively. Despite this, all three major U.S. indexes had reached record highs the previous week.
Elsewhere, Australia’s S&P/ASX 200 index edged up by 0.23 per cent, whereas South Korea’s Kospi Composite decreased by 0.29 per cent. In Hong Kong, the Hang Seng index fell by 0.31 per cent, while on the Chinese mainland, both the Shanghai Composite and the Shenzhen Composite declined by 0.54 per cent and 1.49 per cent respectively. Conversely, Japan’s Nikkei 225 index showed a gain of 0.94 per cent. The dollar strengthened slightly against the yen, trading at JPY 151.8. Gold prices remained stable, with spot gold holding steady at $2,179 per ounce.
Traders are anticipating the release of the Fed’s preferred inflation gauge on Friday, as well as the publication of minutes from the Bank of England‘s financial policy committee on Wednesday. Additionally, economic and consumer confidence data for the Eurozone will be released on Wednesday, alongside a speech from Fed Governor Christopher Waller.
Read more
‘Rip off’: Brits spent eight times their salary buying a home – and in London it’s much worse