Global shares trade mixed, Kospi falls 3 pc as oil prices keep swinging

Tokyo, May 19 (AP) Global shares were mixed on Tuesday as uncertainty about what will happen with the Iran war roiled global markets.

France’s CAC 40 edged up 0.6 per cent in early trading to 8,034.62, while the German DAX gained 1.1 per cent to 24,574.98. Britain’s FTSE 100 rose 0.6 per cent to 10,384.15. The future for the S&P 500 fell 0.2 per cent while that for the Dow Jones Industrial Average lost less than 0.1 per cent.

In Asian trading, Japan’s benchmark Nikkei 225 lost 0.4 per cent to finish at 60,550.59, erasing initial gains after the government reported that the economy grew for the second straight quarter in January-March, mainly due to better than expected consumer spending.

South Korea’s Kospi sank more than 4 per cent in early trading

and closed 3.3 per cent lower at 7,271.66. Shares in Hyundai Motor Co. sank 8.9 per cent, LG Electronics dropped 11.7 per cent, Samsung Electronics slipped 2.0 per cent and SK Hynix fell 5.2 per cent, tracking losses in tech shares overnight on Wall Street.

Australia’s S&P/ASX 200 added 1.2 per cent to 8,604.70. Hong Kong’s Hang Seng climbed 0.5 per cent to 25,797.85, while the Shanghai Composite gained 0.9 per cent to 4,169.54.

In energy trading, benchmark US crude lost 63 cents to USD 108.03 a barrel. Brent crude, the international standard, dipped USD 1.59 to USD 110.51 a barrel.

Oil prices have been gyrating lately because of uncertainty over how long the Iran war will keep the Strait of Hormuz effectively closed, preventing oil tankers from delivering crude. Japan, for instance, imports just about all its oil, much of it previously through the strait.

The price for a barrel of Brent crude oil, the international standard was trading at about USD 70 before the war. It fell after President Donald Trump said in a social media post that he was holding off on a military strike on Iran planned for Tuesday because “serious negotiations” are underway to end the war.

On Monday, the S&P 500 finished with a loss of 0.1 per cent, the Dow industrials added 0.3 per cent and the Nasdaq fell 0.5 per cent.

Investors are watching for Nvidia’s latest quarterly results, due on Wednesday. The chip company has routinely blown past analysts’ expectations each quarter while forecasting more growth. Target, Home Depot and Walmart also report results this week.

In currency trading, the US dollar rose to 159.08 Japanese yen from 158.84 yen. The euro cost USD 1.1632, down from USD 1.1657. (AP) SKS SKS