Tech stock pulled lower Wall Street on Tuesday. That resulted in mixing Asian stock markets.
Hong Kong and Tokyo retreated. But Seoul and Shanghai gained.
According to Wall Street, its benchmark S&P 500 index loses 0.5% Overnight. Energy companies, banks, and others similar companies that depend on consumer spending also experienced retreats.
Investors gained optimism by higher corporate profits. The U.S. began to increase hiring and consumer confidence.
However, traders are still anxious about inflation. Increased coronavirus infections and a rise in interest rates prompted some governments to renew restrictions against the virus.
Janet Tsang said in the report that Asian markets experienced short-term inconstancy. Some investors balanced the effect of higher interest rates. With that, they have optimism that demand will boost earnings.
Asian shares increased on Tuesday, led by a more assertive Chinese opening. It shook off the initial fall from tech-driven Wall Street loss. In the meantime, the dollar remained low compared to other major currencies.
The Shanghai Composite Index gained 0.4%, Nikkei -1.97% in Tokyo fell 2.1%. The Hang Seng in Hong Kong, showed less than 0.1%.
The Kospi in Seoul rose 0.4%. The S&P-ASX 200 in Sydney fell 0.6%.
New Zealand, Jakarta, and Singapore decreased while Bangkok moved forward.
The S&P 500 fell on Monday to 4,163.26 on Wall Street. The Dow Jones Industrial Average lost 0.4%.
Chipmaker Intel fell 1.7%, Capital One COFlost 0.9%, and Valero Energy VLO slid 2.3%.
The Nasdaq Composite COMP slid 1%.
Global Stock News – The recent drop of Tesla shares
Tesla dropped 3.4% after two people died in Texas in a crash of Tesla car. Authorities reported that the driver`s seat was empty at the time of the crash. They wouldn`t have the information if the driver-assist system was activated.
Local authorities said that one man was placed in the passenger seat while another person was in the backseat. They are investigating some issues regarding Autopilot. They want to make sure if Tesla’s Autopilot system was in use. It is known that Autopilot can control the car to keep centered in its lane. Also, it can keep a distance from cars in front of it. In some circumstances, it can even automatically change lanes.
Elon Musk tweeted on Monday, saying that after the recovery of data logs, they found out that Autopilot was not enabled. Besides that, it showed that this car did not purchase the Full Self-Driving function. Also, he said that standard Autopilot requires lane lines to turn on, and this street did not have it.
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