The counterpunch came swiftly after the U.S. Commerce Department expanded the list of Chinese technology companies subject to export controls to include many that make equipment used to make computer chips, chipmaking tools and software. The 140 companies newly included in the so-called “entity list” are nearly all based in China.
The ratcheting up of trade restrictions comes as President-elect Donald Trump has been threatening to sharply raise tariffs on imports from China and other countries.
In equities trading, Tesla shares slipped less than 1% after a Delaware judge late Monday reaffirmed a previous ruling that the electric car maker must revoke Elon Musk’s multibillion-dollar pay package. The judge denied a request by attorneys for Musk and Tesla’s corporate directors to vacate her ruling earlier this year requiring the company to rescind the unprecedented pay package.
The proposed Musk compensation package initially carried a potential maximum value of about $56 billion, but that sum has fluctuated over the years based on Tesla’s stock price.
U.S. Steel shares tumbled more than 8% after President-elect Donald Trump reiterated on social media that he would not let Japan’s Nippon Steel take over the iconic Pennsylvania steelmaker.
Nippon Steel announced last December that it planned to buy the Pittsburgh-based steel producer for $14.1 billion in cash, raising concerns about what the transaction could mean for unionized workers, supply chains and U.S. national security.
Earlier this year, President Joe Biden also came out against the acquisition.
In Europe at midday, France’s CAC 40 rose 0.3%, Germany’s DAX ticked up 0.1%, while Britain’s FTSE 100 rose 0.7%.
Japan’s benchmark Nikkei 225 jumped 1.9% to finish at 39,248.86. Shares in Tokyo Electron surged 4.3% after the U.S. Commerce Department expanded the list of Chinese computer chip-related companies subject to export controls.
Some analysts think Japanese stocks could end up benefiting from President-elect Donald Trump’s latest threats to raise tariffs on China and other countries. During the weekend, Trump threatened 100% tariffs against a group of developing economies, including China and Brazil, if they act to undermine the U.S. dollar.
Taiwan’s Taiex gained 1.3% and the Sensex in India was up 0.8%.
Australia’s S&P/ASX 200 gained 0.6% to 8,495.20. South Korea’s Kospi jumped 1.9% to 2,500.10, after inflation data showed a rebound but remained low enough to keep rate-cut hopes alive for early 2025.
Hong Kong’s Hang Seng added 1.0% to 19,746.32, while the Shanghai Composite edged up 0.4% to 3,378.81. Unconfirmed reports said Chinese leaders would meet next week to discuss planning for the coming year, an annual economic work meeting that investors are hoping to bring fresh stimulus to help spur growth in the world’s second-largest economy.
This week also brings several big updates on the U.S. job market, including the October job openings report, weekly unemployment benefits data and the all-important November jobs report. They could steer the next moves for Federal Reserve, which recently began pulling interest rates lower to give support to the economy.
Economists expect Friday’s headliner report to show U.S. employers accelerated their hiring in November, coming off October’s lackluster growth that was hampered by damaging hurricanes and strikes.
In energy trading early Tuesday, benchmark U.S. crude gained 93 cents to $69.03 a barrel. Brent crude, the international standard, rose 92 cents to $72.75 a barrel.
In currency trading, the U.S. dollar rose to 149.85 Japanese yen from 149.59 yen. The euro inched up to $1.0513 from $1.0500.
On Monday, the S&P 500 rose 0.2% from the previous session’s all-time high to post a record for the 54th time this year, closing at 6,047.15. The Dow Jones Industrial Average fell 0.3% to 44,782.00, while the Nasdaq composite gained 1% to 19,403.95.
Credit: AP
Credit: AP
Credit: AP
Credit: AP
Credit: AP
Credit: AP
Credit: AP
Credit: AP
Credit: AP
Credit: AP
