Investors watch Trump-Kim meeting, Asian shares higher in muted trading
What's the story
Asian shares were higher in muted trading today as investors watch the second summit between the US President Donald Trump and North Korean leader Kim Jong-un in Hanoi, Vietnam. While Japan's benchmark Nikkei 225 added 0.5% in early trading to 21,550.02, Australia's S&P/ASX 200 gained 0.3% to 6,148.70. On the other hand, South Korea's Kospi edged up nearly 0.2% to 2,230.37. Details here.
Details
Trump, Kim have arrived in Hanoi for their second summit
Hong Kong's Hang Seng added 0.5% to 28,909.38, while the Shanghai Composite index gained 0.9% to 2,966.84. Kim and Trump both arrived in Hanoi yesterday and their Hanoi meetings get underway today. The two leaders first met last June in Singapore, a summit that was long on historic pageantry but short in any enforceable agreements for North Korea to give up its nuclear arsenal.
Summit
Leaders hope to build on agreement they made in Singapore
Trump and Kim are to have a private dinner this evening and discussions tomorrow in hopes of building on an aspirational agreement they made in Singapore. US stock indexes capped a day of wobbly trading with slight losses yesterday, erasing some of their modest gains from a day earlier. The market also changed course several times during the day.
Comments
Comments of Federal Reserve Chairman cheered sentiments among Asian markets
The market changed course as investors balanced conflicting US economic-data and testimony from Federal Reserve Chairman Jerome Powell. The Fed chief told Congress that the US economy should keep expanding at a solid, though somewhat slower pace this year, and reassured markets that the central bank would be "patient" in raising interest-rates. Those comments, which indicate steady policy ahead, cheered sentiments among Asian markets.
Dow Jones
Dow Jones Industrial Average fell 33.97 points to 26,057.98
The S&P 500 dropped 2.21 points, or 0.1%, to 2,793.90. The benchmark index, which has finished higher for past four weeks, broke a two-day winning streak. The Dow Jones Industrial Average fell 33.97 points, or 0.1%, to 26,057.98 whereas the Nasdaq composite slid 5.16 points, or 0.1%, to 7,549.30. The Russell 2000 index of smaller companies gave up 11.32 points, or 0.7%, to 1,577.48.
Crude price
Brent crude gained 34 cents to $65.70 a barrel
Major European indexes finished mostly higher. US benchmark crude added 52 cents to $56.02 a barrel. It was essentially flat at $55.50 a barrel in New York overnight. Brent crude, used to price international oils, gained 34 cents to $65.70 a barrel in London. The dollar declined to 110.57 yen from 110.86 yen yesterday whereas the euro strengthened to $1.1384 from $1.1363.