Stock market today: Asian stocks mixed after Wall St hits 15-month high ahead of holiday

By JOE McDONALD
AP Business Writer

BEIJING (AP) — Asian stock markets were mixed Tuesday after Wall Street hit a 15-month high ahead of a decision by Australia’s central bank on a possible interest rate hike.

Shanghai, Tokyo, Seoul and Sydney retreated. Hong Kong gained. Oil prices rose.

Wall Street’s benchmark S&P 500 index lost 0.1% on Monday ahead of a report this week on U.S. employment, one of the factors watched by the Federal Reserve in deciding on possible additional interest rate hikes.

Australia’s rate decision was expected to be the day’s major data point while U.S. markets were closed for Independence Day.

The Shanghai Composite Index gained less than 0.1% to 3,246.13 while the Nikkei 225 in Tokyo shed 0.9% to 33,446.78. The Hang Seng in Hong Kong advanced 0.4% to 19,388.71.

The Kospi in Seoul lost 0.2% to 2,596.87 and Sydney’s S&P-ASX 200 sank 0.1% to 7,236.50.

New Zealand, Bangkok and Jakarta advanced while Singapore declined.

On Monday, the S&P 500 rose to 4,455.59, its highest level since April 2022. The benchmark climbed in six of the past seven weeks for a 16% gain so far this year.

The Dow Jones Industrial Average advanced 0.1% to 34,418.47, and the Nasdaq composite added 0.2% to 13,816.77.

Traders expect at least a brief recession following U.S. and European rate hikes to cool inflation but have been encouraged by signs U.S. hiring is strong.

U.S. manufacturing contracted in June for an eighth month, according to a monthly survey released Monday by the Institute for Supply Management.

The government report Friday on hiring and wages is one of the last big data points before the Fed’s meeting next month on interest rate policy.

Tesla Inc. was the strongest force lifting the S&P 500 upward after the market heavyweight climbed 6.9%. The company said spring deliveries surged by 83% from a year earlier. That was more than analysts expected. Tesla reports earnings on July 19.

Rivian Automotive, another electric-vehicle company, jumped 17.4% after spring deliveries topped forecasts.

Apple Inc. slipped 0.8% after becoming the first U.S. stock on Friday to finish a trading day with a total value of more than $3 trillion.

The Fed has hinted it may be nearing the end of rate hikes, which would mean less pressure on economic activity. Much of Wall Street expects a rate hike July 26.

In energy markets, benchmark U.S. crude gained 41 cents to $70.20 per barrel in electronic trading on the New York Mercantile Exchange. The contract fell 85 cents Monday to $69.79. Brent crude, the price basis for international oil trading, advanced 41 cents to $75.06 per barrel in London. It retreated 76 cents the previous session to $74.65.

The dollar declined to 144.59 yen from Monday’s 144.72 yen. The euro fell to $1.0905 from $1.0913.