Global markets continue to act like a seesaw, down one minute and up the next.
“After the debacle involving a big sell-off in China-related stocks, Asian markets staged a big comeback with Hong Kong’s Hang Seng index up 3.1% and China’s SSE advancing by 1.5% on chatter that Beijing wouldn’t be overtly draconian towards Chinese companies with listings in foreign markets if they kept in line with local laws,” says Danni Hewson, financial analyst at AJ Bell.
“Regulatory interference has been behind the recent slump in China-related stocks and there have been growing fears this would lead to investors turning their backs on the growing number of Chinese companies listed in places like New York.
“The UK market saw investors flock to stocks that would benefit from economic expansion, principally commodities producers and banks. The FTSE 100 advanced 0.3% to 7,035, with the top riser being ratcatcher Rentokil after it said its core businesses had all returned to growth.
“In overseas markets, Nokia’s shares hit their highest level since March 2019 after beating earnings expectations and lifting guidance for margins.”