US markets bounced back with gusto last night, including a 3% rally in the tech-heavy Nasdaq index. Asia markets had already seen a decent showing on Monday and they did their best to sustain this momentum on Tuesday, but the gains turned to losses towards the end of the session for Hong Kong.
The Hang Seng index traded 1.2% lower with banks, insurers and construction companies dragging down the market,” says Russ Mould, investment director at AJ Bell.
“In the UK, the FTSE 100 was flat at 6,590 with a selloff in oil stocks offset by strength in consumer goods, financials and pharma.
“Testing group Intertek was among the top risers after its full year results show the business to be more resilient than many people had thought. Its shares have been drifting since October but perked up 2% on the results.
“Gold remained out of favour despite ongoing concerns about inflation. Investors often buy the metal as a hedge against inflation, yet this playbook doesn’t appear to be working this year given how gold has fallen by more than 7% in the past 30 days to $1,724 per ounce.”