Global stock markets were mixed Wednesday as traders watched for potential economic impact from the visit to Taiwan by Nancy Pelosi, speaker of the U.S. House of Representatives.
London and Shanghai fell. Frankfurt, Tokyo and Hong Kong gained. Oil prices declined.
China, which claims self-ruled Taiwan as part of its territory, banned imports of Taiwanese citrus fruits and frozen fish in retaliation for Pelosi’s visit. But it has avoided disrupting the flow of processor chips and other industrial goods, a step that could jolt the global economy.
“The real show of force by China is still to come,” said Clifford Bennett of ACY Securities in a report.
On Tuesday, the S&P 500
The Dow Jones Industrial Average
The Nasdaq Composite
In Asian trading, the Shanghai Composite Index
Taiwan’s Taiex gained 0.2% to 14,777.02 after Beijing gave no sign it might disrupt industries such as Taiwanese producers of processor chips needed by Chinese factories that assemble the world’s smartphones.
The Kospi in Seoul
India’s Sensex lost less than 0.1% to 58,158.34. New Zealand and Southeast Asian markets rose.
Investors worry aggressive efforts by the Federal Reserve and other central banks to tame inflation that is running at multi-decade highs might derail global economic growth.
The U.S. Labor Department said Tuesday that employers posted 10.7 million jobs in June, down from 11.3 million the previous month but still a relatively high figure. Job openings, which never exceeded 8 million in a month before last year, had topped 11 million every month from December through May before dipping in June.
Some weak data on the U.S. economy has added to suggestions the peak in inflation has passed but also indicates the risk of a recession is increasing.
In energy markets, benchmark U.S. crude