Wall Street’s main indexes rose at the open yesterday, with Federal Reserve Chairman Jerome Powell hinting that the bank would start raising interest rates this month despite the uncertainty surrounding the Ukraine crisis.
According to “Archyde.com”, the Dow Jones Industrial Average rose 84.56 points, or 0.25 percent, to 33,379.51 points. The Standard & Poor’s 500 Index rose 16.30 points, or 0.38 percent, to 4,322.56 points, while the Nasdaq Composite rose 65.07 points, or 0.48 percent, to 13,597.53 points.
On the other hand, European shares rebounded from their decline in early trading, to close higher yesterday, as the increase in commodity prices led to a rise in shares of energy and mining companies, amid fears of supply restrictions due to the strict sanctions imposed on Russia over its intervention in Ukraine.
The pan-European Stoxx 600 index ended yesterday, up 0.9%. The oil and gas index jumped 4.1 percent following the price of Brent crude exceeded $110 a barrel for the first time since 2014.
Mining shares also rose 2.3 percent as the prices of metals, including copper and aluminum, increased, buoyed by growing concerns regarding supply disruptions.
The Stoxx 600 index fell more than 2 percent yesterday, and has lost regarding 8 percent so far this year amid concerns regarding the global economic impact of Western sanctions on Russia.
The euro zone banks index rose 1.4 percent following falling to its lowest level in nearly 11 months.
Shares of automakers fell 1.6 percent, as they faced difficulties in obtaining important electrical connectors following the Russian attack led to the closure of suppliers to them in western Ukraine, forcing them to reduce production.
In Asia, Japanese stocks fell following a three-session rally to close lower yesterday, with growing fears of the impact of sanctions imposed by Western countries on Russia following its intervention in Ukraine, which prompted investors to refrain from risky assets and seek safe havens.
The Nikkei index fell 1.68 percent to close at 26,393.03 points, while the broader Topix index fell 1.96 percent to 1859.94 points.
Global sanctions on Russia prompted a group of large companies to announce the suspension or exit of their activities in the country.
ExxonMobil said it would exit its operations in Russia, including oil-producing fields, following similar decisions by BP, Shell and Norway’s Equinor.
In Tokyo, the shares of the technology sector were the most declining on the Nikkei index, and “Tokyo Electron”, a manufacturer of electronic chips, fell 1.99 percent, while “Fanuc”, a manufacturer of robots, fell 3.64 percent, and “Daikin Industries” fell 3.75 percent.
The insurance companies sector was among the worst performers among the sub-sectors, falling 4.08 percent as the yield on US Treasuries fell to its lowest level in eight weeks.
T & D Holdings tumbled 6.31 percent, while Dai-ichi Life Holdings fell 5.21 percent.
The oil-exporting companies sector jumped 7.06 percent following the price of a barrel of oil exceeded $100.
