Global Markets Report - 11 December

ASX set to open lower, after US stocks fell on weakness in tech.

11 December 2024

Australia

Australian shares are set to open lower, after US stocks fell on weakness in technology shares.

ASX futures were down 0.32% or 27 points as of 9:00am on Wednesday, suggesting a lower open.

In the US, stock investors' obsession with technology cut both ways as optimism over quantum computing duked it out with anxiety about overvaluation in artificial intelligence. Bearish sentiment ultimately won out with major indexes closing slightly lower.

"We've just had this impenetrable broad-based rally arguably since the election," said Sylvia Jablonski, chief investment officer at fund manager Defiance ETFs. "It makes sense that markets are going to pause, especially ahead of CPI tomorrow."

The S&P 500 and Nasdaq Composite lost 0.3% while the Dow Jones Industrial Average shed 0.4%.

In commodity markets, Brent crude oil was down 0.12% to US$72.05 a barrel, while gold was unchanged at US$2,694.19.

The Australian dollar was at 63.78 US cents, down from its previous close of 64.38.

Asia

Chinese shares closed higher.The benchmark Shanghai Composite Index added 0.6% to 3,422.66, and the Shenzhen Composite Index increased 0.9% to 2,075.17.

Hong Kong shares ended lower. The benchmark Hang Seng Index slipped 0.5% to 20,311.28.

Japanese shares closed higher. The Nikkei Stock Average increased 0.5% to 39,367.58.

India shares ended flat. The BSE SENSEX was unchanged at 81,510.05.

Europe

Stocks in the U.K. finished lower. The FTSE 100 Index slipped 0.9% to 8,280.36.

In Europe, shares closed lower.Germany's DAX slipped 0.1% to 20,329.16, and France's CAC 40 declined 1.1% to 7,394.78.

North America

U.S. stocks ended lower.The DJIA fell 0.3% to 44,247.83 , the S&P 500 lost 0.3% to 6,034.91 , and the Nasdaq dropped 0.3% to 19,687.24.

Among S&P 500 companies, the top three gainers were Walgreens Boots Alliance Inc WBA, surging 17.91%, Alphabet Inc GOOGL jumped 5.59%, and Alphabet Inc GOOG lifted 5.33%.

The biggest decliners were Moderna Inc MRNA which dropped 9.15%, Super Micro Computer Inc SMCI fell 8.15%, and Oracle Corp ORCL lost 6.69%.

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Morningstar
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