· Stocks closed higher on Tuesday following news that the U.S. temporarily eased restrictions on Chinese telecom giant Huawei.
The Dow Jones Industrial Average rose 197.43 points to 25,877.33 as Intel outperformed. The S&P 500 gained 0.9% to end the day at 2,864.36, with the tech sector jumping 1.2%. The Nasdaq Composite advanced 1.1% to 7,785.72.
· The Commerce Department said Monday night it would allow Huawei to purchase American-made goods in order to maintain existing networks and provide software updates to existing Huawei handsets until Aug. 19. The move sought to minimize disruption for the telecom company’s customers around the world. The initial restrictions worried investors that the ongoing U.S.-China trade war was intensifying.
· Shares in rare earth-related companies soared on Tuesday, led by jumps in Chinese producers a day after Chinese President Xi Jinping visited a rare earth firm in southern China, sparking speculation the sector could be the next front in the Sino-U.S. trade war.
Xi on Monday visit JL MAG Rare-Earth Co Ltd in Jiangxi province, state media reported. The MVIS Global Rare Earth/Strategic Minerals Index, which tracks the shares of 20 producers from 10 countries, including China, Australia and Canada, jumped 6.4% in its biggest one-day gain since October 2011.
In Hong Kong, China Rare Earth Holdings Ltd soared more than 80%.
· European stocks closed higher Tuesday as tensions eased slightly in the escalating trade war between the U.S. and China.
The pan-European STOXX 600 closed provisionally 0.5% higher, with most sectors in positive territory. Technology stocks led the gains with a 1.6% rise.
· Shares in Asia were higher in Wednesday morning trade following a positive finish overnight on Wall Street, though trade tensions continued to linger between the U.S. and China.
The Nikkei 225 in Japan added 0.39% in early trade as shares of index heavyweights Fast Retailing, Softbank Group and Fanuc gained. The Topix also rose 0.31% as most sectors advanced.
In South Korea, the Kospi gained 0.13% as automaker Hyundai Motor’s stock rose 0.79%. Over in Australia, the ASX 200 edged up in early trade.
Reference: CNBC, Reuters
Thai
Eng