Global stocks mixed amid trade war fears

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NEW YORK, July 24, 2018 (BSS/AFP) – Global stocks finished mixed Monday
ahead of a heavy week of corporate earnings amid lingering tensions over
trade wars.

European Commission President Jean-Claude Juncker heads to Washington on
Wednesday to meet with President Donald Trump and try to avert an escalation
of tit-for-tat trade tariffs.

Trump already is embroiled in a messy trade spat with China and Europe,
while negotiations with Canada and Mexico to revamp the North American Free
Trade Agreement have stalled.

“It is hard to imagine a more difficult trading environment due to
worsening trade-war rhetoric, a sharp devaluation of the Chinese currency, an
unsynchronized global recovery, and the President commenting on Fed policy,”
said Canaccord Genuity strategist Tony Dwyer.

The week’s calendar includes a heavy schedule of earnings reports from
companies ranging from British pharma giant GlaxoSmithKline to German
automaker Daimler to US aerospace titan Boeing.

Tech companies are also in focus, with Amazon and Facebook reporting later
in the week. Google-parent Alphabet rocketed higher in after-hours trading
Monday after reporting better-than-expected results.

Equity markets in Paris, London and Frankfurt all ended somewhat lower,
while major US indices were mixed.

Tokyo’s stock market meanwhile dropped 1.3 percent — falling for a third
straight trading day — as a stronger yen hurt exporters, making their
products less competitive abroad.

Oil prices pushed higher early in the day after Trump warned Iran would
“suffer consequences” in response to bellicose commentary from Iranian
President Hassan Rouhani, who cautioned Trump not to “play with the lion’s
tail,” saying that conflict with Iran would trigger the “mother of all wars.”

But oil prices later pulled back, ending slightly lower on concerns about
additional oil supply from Saudi Arabia.

Among individual names, Italian automaker Fiat Chrysler skidded 1.7
percent lower in Milan after its chief of 14 years Sergio Marchionne suffered
life-changing health problems, forcing the company to name a new management
team.

Shares in budget airline Ryanair fell in London trade as it reported its
profit had been squeezed by higher fuel costs and salaries for pilots. With
limited visibility on Brexit and a strike set for this week, the company’s
share price tumbled 6.4 percent.

– Key figures at 2100 GMT –

New York – Dow: DOWN 0.1 percent at 25,044.29 (close)

New York – S&P 500: UP 0.2 percent at 2,806.98 (close)

New York – Nasdaq: UP 0.3 percent at 7,841.87 (close)

London – FTSE 100: DOWN 0.3 percent at 7,655.79 (close)

Frankfurt – DAX 30: DOWN 0.1 percent at 12,548.57 (close)

Paris – CAC 40: DOWN 0.4 percent at 5,378.25 (close)

EURO STOXX 50: DOWN 0.2 percent at 3,453.42 (close)

Tokyo – Nikkei 225: DOWN 1.3 percent at 22,396.99 (close)

Hong Kong – Hang Seng: Up 0.1 percent 28,256.12 (close)

Shanghai – Composite: UP 1.1 percent at 2,859.54 (close)

Euro/dollar: DOWN at $1.1694 from $1.1724 at 2100 GMT

Pound/dollar: DOWN at $1.3102 from $1.3125

Dollar/yen: DOWN at 111.35 yen from 111.41 yen

Oil – Brent Crude: DOWN 1 cent at $73.06 per barrel

Oil – West Texas Intermediate: DOWN 37 cents at $67.89 per barrel

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