Major global stock markets edged higher Tuesday as U.S. voters cast their ballots in a closely contested presidential race, while the dollar remained under pressure. The outcome of the election between Republican Donald Trump and Democrat Kamala Harris is expected to impact markets, particularly in the event of a disputed result, which could increase volatility. A clear victory, however, would offer some relief to investors, said AJ Bell’s investment director, Russ Mould.
In Asia, equities saw a notable boost from positive data on China’s services sector, with Hong Kong and Shanghai indices closing up over 2%. Chinese Premier Li Qiang expressed confidence in meeting economic growth targets, signaling potential further support measures. European markets also rose modestly as traders awaited interest rate decisions from the Federal Reserve and the Bank of England later in the week. Analysts expect a Trump win could strengthen the dollar and raise Treasury yields, driven by his pro-tariff, tax-cutting policies, while a Harris victory might stabilize market expectations.
Oil prices gained slightly after a significant rise Monday, as top producers agreed to extend output cuts. In corporate news, Boeing workers approved a new contract, ending weeks of strikes, and Vodafone saw a 1.5% increase in London trading amid UK regulatory progress on its merger with CK Hutchison.
Key Figures as of 10:30 GMT:
- London – FTSE 100: UP 0.3% at 8,204.82
- Paris – CAC 40: UP 0.1% at 7,377.88
- Frankfurt – DAX: UP 0.1% at 19,170.66
- Tokyo – Nikkei 225: UP 1.1% at 38,474.90 (close)
- Hong Kong – Hang Seng: UP 2.1% at 21,006.97 (close)
- Shanghai – Composite: UP 2.3% at 3,386.99 (close)
- New York – Dow: DOWN 0.6% at 41,794.60 (close)
- Brent Crude: UP 0.5% at $75.48 per barrel
