Market UpdatesJul 08, 20262 Min
Global market wrap: Asian stocks mixed in trade as US-Iran tensions flare up again; oil jumps
We are back with quick updates on global stock markets, commodities and corporate developments that are making a buzz today.
Asian markets were trading mixed on Wednesday as tensions escalated again between the US and Iran. Investors also awaited minutes from the Federal Reserve’s latest policy meeting scheduled to be released later in the day.
Japan’s Nikkei 225 fell 0.3% to 68,024, while South Korea’s benchmark Kospi dropped 1.8% to 7,520.
China’s Shanghai Composite index, meanwhile, was trading 0.5% higher at 4,011. Hong Kong’s Hang Seng Index also surged 2.4% to 24,065.
Australia’s S&P/ASX 200 declined 0.8% to 8,738, even as Singapore’s Straits Times gained 1.2% to 5,404 on Wednesday.
US stock futures were trading flat amid volatile geopolitical situation. S&P 500 futures inched up 0.02%, Nasdaq 100 futures were up 0.2%, while futures tied to the Dow were trading in the negative zone, down 0.1%.
In Tuesday’s regular session, the S&P 500 slipped 0.5%, while the Nasdaq 100 declined 1.2%. The Dow Jones Industrial Average closed 0.25% lower after touching fresh high in the intraday session.
Oil prices galloped on Wednesday after the US launched fresh strikes on Iran after three commercial vessels were attacked in the Strait of Hormuz. The US crude oil futures for July delivery jumped 2.7% to $72.34 per barrel by 2352 ET. Brent futures, the international benchmark, for August delivery gained 2.7% to $76.20 per barrel.
Gold prices dropped for a fourth straight session as investors were cautious about inflation amid rising oil prices. Spot gold gained 0.4% on Tuesday to $4,123 per ounce by 0422 GMT, but US gold futures for August delivery lost 0.56% to $4,134 per ounce.
Here’s a look at some major developments across global markets:
SpaceX shares drop on Nasdaq debut day
SpaceX shares declined on their first day as part of the Nasdaq 100 index amid a broader decline in tech stocks.
On Tuesday, the stock closed 6.8% lower at $149.47. This was below the $150 price at which SpaceX made its debut when shares began trading on June 12, but still higher than the initial public offerinf (IPO) price of $135.
Exxon hints at profit windfall in Q2 on higher oil prices
US oil and gas giant Exxon Mobil said on Tuesday that its second-quarter earnings could see a boost of about $5 billion compared to the previous quarter, as oil prices increased sharply during the US- Iran war and the company’s refining margins also improved.
Exxon’s upstream segment could see profits lifted by about $1.6 billion, according to the midpoint of estimates provided by the company.
Momenta makes quiet debut on Hong Kong stock exchange
Shares of General Motors-backed Chinese autonomous driving firm Momenta rose just 3% in its debut trade in Hong Kong on Wednesday.
Momenta shares opened at HK$301 compared with its IPO price of HK$295.60 in the opening trade on Wednesday, before hitting a high of HK$314.80.
Rivian Automotive shares tumble 18% after announcing capital-raise plans
Electric vehicle maker Rivian Automotive shares plunged 18% in mid-day trading on Tuesday after the company announced a public offering of 75 million shares of its Class A common stock.
Based on Monday’s close of $20.14 per share, Rivian would raise roughly $1.51 billion with the offering. Rivian said in a filing that it plans to use the proceeds to fund equity contributions as part of a loan agreement with the US Department of Energy.
