US, European Stocks Mixed as Inflation Boosts Odds of Fed Rate Hike
Global equities markets indexes closed on a mixed note as a jump in the consumer price index (CPI), which measures the US inflation rate, increased odds of a Federal Reserve interest rate hike.
Hotter-than-expected US inflation revived expectations of more aggressive Federal Reserve tightening, driving a technology-led retreat that carried into Asian trading on Thursday. The S&P 500 closed 1.11% lower, and the NASDAQ fell 1.88%, while the Dow Jones ended the session broadly unchanged.
Pressure persists in Asia, with the Hang Seng Index down 1.47% and the Nikkei 225 down 5.08%, as technology and semiconductor shares remain under pressure. Australia’s ASX 200 closed broadly unchanged (-0.09%) after weak domestic employment data compounded the Wall Street selloff.
Europe proved more resilient as positive corporate developments helped the Euro Stoxx 50 close 0.38% higher, despite higher rate expectations pressuring banks, while pharmaceutical, energy and consumer stocks lifted the FTSE 100 by 0.70% as losses in banking and mining shares capped the advance.
The Johannesburg Stock Exchange (JSE) is set for a weaker open this morning as global futures tilt lower and Asian markets are trading under pressure, extending the risk-off tone after the All Share and Top 40 closed lower.
Technology remains a key drag, with Tencent down 0.80%, a negative read-through for Naspers and Prosus as weakness across regional technology shares persists. The resources complex also faces a difficult start.
A 4.25% fall in Australia’s S&P/ASX 300 Metals and Mining Index points to pressure on JSE miners, while copper’s third consecutive decline reinforces concerns around industrial demand.
The 24-hour gain reflects a combination of modest market tailwinds and steady, long-term ecosystem progress, not a sudden catalyst. The price remains in a defined range, awaiting a macro or technical trigger for its next significant move.
The JSE came under pressure on Wednesday, with the All Share closing 0.82% lower and the Top 40 declining 0.85%, snapping a four-day winning streak.
The sell-off was driven by a hotter-than-expected US CPI print for September, which showed headline inflation rising 0.6% month-on-month, the fastest pace in five months, while core inflation also surprised to the upside, reigniting concerns that the Federal Reserve may need to tighten policy further.
The data weighed on global risk appetite and filtered through to Johannesburg, with Resources (-2.29%), Industrials (-0.08%) and Financials (-0.22) all ending lower as higher US real yields tempered appetite for emerging-market assets. Equities Investors Gain N103bn, Access, Aradel Drive Rally
