Asian shares mostly higher after wobbly gains on Wall St

Sep 13, 2022, 8:45 AM | Updated: Sep 14, 2022, 9:26 pm
Security personnel stand guard outside the New York Stock Exchange, Wednesday, Sept. 14, 2022, in t...

Security personnel stand guard outside the New York Stock Exchange, Wednesday, Sept. 14, 2022, in the financial district of Manhattan in New York. Stocks edged higher in afternoon trading on Wall Street Wednesday following the market's worst day in two years on fears about higher interest rates and the recession they could create. (AP Photo/Mary Altaffer)

(AP Photo/Mary Altaffer)

Shares were mostly higher in Asia on Thursday after a wobbly day of trading yielded modest gains on Wall Street.

U.S. futures inched up while oil prices were mixed.

Shanghai’s benchmark lost 1% to 3,204.93 after China’s central bank left its benchmark lending rate unchanged. While other major economies are raising rates to cool inflation, China’s economy has been slowing and inflation remains moderate.

Tokyo’s Nikkei 225 index gained 0.5% to 27,946.20. Japan reported a record trade deficit for the month of August, driven by high costs for imports of energy and other commodities and a weak yen.

But analysts said they expect a rebalancing in coming months.

“Motor vehicle production should continue to normalize as supply chain disruptions ease, while commodity price growth has eased even further,” Darren Tay of Capital Economics said in a commentary.

In Hong Kong, the Hang Seng index was 0.5% higher, at 18,941.04, while the Kospi in Seoul edged 0.1% higher to 2,413.07.

Australia’s S&P/ASX 200 added 0.6% to 6,869.60.

Trading was tentative in New York on Wednesday, a day after the market’s worst drop in two years, which was set off by fears that higher interest rates could cause a recession.

A report on inflation at the wholesale level showed prices are still rising rapidly, with pressures building underneath the surface, even if overall inflation slowed. It echoed a report on inflation at the consumer level Tuesday, which raised expectations for interest-rate hikes and triggered a rout for markets.

The S&P 500 added 0.3% Wednesday to 3,946.01, while the Dow inched 0.1% higher, to 31,135.09. The Nasdaq gained 0.7% to 11,719.68, and the Russell 2000 picked up 0.4% to close at 1,838.46.

Traders now see a one-in-four chance the Fed may hike its benchmark rate by a full percentage point next week, quadruple the usual move, according to CME Group. A day earlier, it was closer to a one-in-three chance. The site puts the probability of a three-quarter percentage point increase now at 76%, up from 69% on Tuesday.

The central bank has already raised its benchmark interest rate four times this year, with the last two increases by three-quarters of a percentage point.

The Fed is taking the aggressive action on interest rates to try and cool the hottest inflation in four decades. Tuesday’s report on high prices jolted the market with signs that inflation is entering a more stubborn phase that could require an already resolute Fed to become more aggressive.

Wall Street is especially worried that the rate hikes could go too far in slowing the economy and send it into a recession. The Fed is trying to avoid that outcome, but the latest inflation reports suggest that is becoming a more difficult task.

The broader U.S. economy has been slowing, but consumers have remained resilient and the job market remains strong. Wall Street will get another update on inflation’s latest impact on spending when the government releases its retail sales report for August on Thursday.

The market is also monitoring U.S.-China tensions and war in Ukraine, while business and government officials are bracing for the possibility of a nationwide rail strike at the end of this week that could paralyze an already discombobulated supply chain.

The railroads have already started to curtail shipments of hazardous materials and have announced plans to stop hauling refrigerated products ahead of Friday’s strike deadline. Businesses that rely on Norfolk Southern, Union Pacific, BNSF, CSX, Kansas City Southern and other railroads to deliver their raw materials and finished products are planning for the worst.

Union Pacific fell 3.7% and Norfolk Southern fell 2.2%.

Biden administration officials are scrambling to develop a plan to keep goods moving if the railroads shut down. The White House is also pressuring the two sides to settle their differences, and a growing number of business groups are lobbying Congress to be prepared to intervene and block a strike if they can’t reach an agreement.

In other trading Thursday, U.S. benchmark crude oil gained 10 cents to $88.58 per barrel in electronic trading on the New York Mercantile Exchange. It jumped $1.17 to $88.48 on Wednesday.

Brent crude, the pricing basis for international trading, slipped 5 cents to $94.05 per barrel.

The dollar rose to 143.42 Japanese yen from 143.16 yen late Wednesday. The euro weakened to 99.73 cents from 99.77 cents.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

AP

Yasir al-Rumayyan, the governor of Saudi Arabia's sovereign wealth fund, known as the Public Invest...
Associated Press

Saudi Arabia’s triumphant week reclaims the West’s embrace

NEW YORK (AP) — Saudi Arabia appears to be leaving behind the stream of negative coverage that the killing of Jamal Khashoggi elicited since 2018. The kingdom is once again being enthusiastically welcomed back into polite and powerful society, and it is no longer as frowned upon to seek Saudi investments or accept their favor. […]
15 hours ago
A model of the house where a precision counterterrorism operation killed al-Qaida's leader Ayman al...
Associated Press

CIA unveils model of al-Qaida leader al-Zawahri’s hideout

MCLEAN, Virginia (AP) — The CIA revealed on Saturday the model of a safe house used to brief President Joe Biden about the whereabouts of al-Qaida leader Ayman al-Zawahri before it killed him in a drone strike in Afghanistan. Shortly after al-Zawahri’s death, White House officials released a photo showing Biden talking to CIA Director […]
15 hours ago
Associated Press

Opposition leads in 1st round of Czech Senate election

PRAGUE (AP) — The major opposition party in the Czech Republic appeared to be leading Saturday in the first round of elections for one-third of the seats in Parliament’s upper house, the Senate. With ballots from more than 95% of ballot stations counted, the centrist ANO movement led by former Prime Minister Andrej Babis had […]
15 hours ago
Arizona Secretary of State Latie Hobbs, left, the Democratic nominee for governor, and Kris Mayes, ...
Associated Press

GOP quiet as Arizona Democrats condemn abortion ruling

PHOENIX (AP) — Arizona Democrats vowed Saturday to fight for women’s rights after a court reinstated a law first enacted during the Civil War that bans abortion in nearly all circumstances, looking to capitalize on an issue they hope will have a major impact on the midterm elections. Republican candidates were silent a day after […]
15 hours ago
Andy Huynh, left, and Alex Drueke, far right, are seen hugging their loved ones after arriving at B...
Associated Press

‘We got our miracle’: Freed Americans back home in Alabama

BIRMINGHAM, Ala. (AP) — Two U.S. military veterans who disappeared three months ago while fighting with Ukrainian forces against Russia arrived home to Alabama on Saturday, greeted by hugs, cheers and tears of joy at the state’s main airport. Alex Drueke, 40, and Andy Huynh, 27, had gone missing June 9 in the Kharkiv region […]
15 hours ago
Foreign Minister of India Subrahmanyam Jaishankar addresses the 77th session of the United Nations ...
Associated Press

India stays neutral on Ukraine war, previews G-20 term at UN

UNITED NATIONS (AP) — India’s foreign minister laid out the country’s plans for its turn at the G-20 presidency during his speech Saturday in front of the U.N. General Assembly. India assumes the mantle of the consortium of leading developed and developing nations in December. Subramanyam Jaishankar said India’s approach would be “based on principles […]
15 hours ago

Sponsored Articles

Anacortes Christmas Tree...

Come one, come all! Food, Drink, and Coastal Christmas – Anacortes has it all!

Come celebrate Anacortes’ 11th annual Bier on the Pier! Bier on the Pier takes place on October 7th and 8th and features local ciders, food trucks and live music - not to mention the beautiful views of the Guemes Channel and backdrop of downtown Anacortes.
Swedish Cyberknife Treatment...

The revolutionary treatment of Swedish CyberKnife provides better quality of life for majority of patients

There are a wide variety of treatments options available for men with prostate cancer. One of the most technologically advanced treatment options in the Pacific Northwest is Stereotactic Body Radiation Therapy using the CyberKnife platform at Swedish Medical Center.
Work at Zum Services...

Seattle Public Schools announces three-year contract with Zum

Seattle Public Schools just announced a three-year contract with a brand-new company to the Pacific Northwest to assist with their student transportation: Zum.
Swedish Cyberknife 900x506...

June is Men’s Health Month: Here’s Why It’s Important To Speak About Your Health

According to the Centers for Disease Control and Prevention, men in the United States, on average, die five years earlier than women.
...

Anacortes – A Must Visit Summertime Destination

While Anacortes is certainly on the way to the San Juan Islands (SJI), it is not just a destination to get to the ferry… Anacortes is a destination in and of itself!
...

Ready for your 2022 Alaskan Adventure with Celebrity Cruises?

Celebrity Cruises SPONSORED — A round-trip Alaska cruise from Seattle is an amazing treat for you and a loved one. Not only are you able to see and explore some of the most incredible and visually appealing natural sights on the planet, but you’re also able to relax and re-energize while aboard a luxury cruise […]
Asian shares mostly higher after wobbly gains on Wall St