· European stocks opened higher on Wednesday, with investors still unnerved by fears of a potential U.S. recession.
The pan-European Stoxx 600 index rose 0.2 percent at the open, with most sectors and major bourses in positive territory. The U.K.'s FTSE 100 was the top performer, up 0.3 percent, as the British pound weakened.
Market players are taking a cautious stance as worries of a slowdown in economic growth linger. U.S. bond markets have in recent days signaled a U.S. recession may be coming, with the U.S. 10-year Treasury yield falling below that of the 3-month bill for the first time since 2007 last week.
· Asian shares held steady on Wednesday as investors tried to come to terms with a sharp shift in U.S. bond markets and the implications for the world’s top economy.
MSCI’s broadest index of Asia-Pacific shares outside Japan ticked up 0.1 percent, while Japan’s Nikkei average lost 0.2 percent.
· Japan’s Nikkei dropped on Wednesday, pressured by companies going ex-dividend even as the downside was limited by a nervous calm over signs of deteriorating prospects for the U.S. economy.
Companies whose business years end in March went ex-dividend on Wednesday, after which investors will no longer qualify for the latest dividend payout.
The Nikkei share average ended down 0.2 percent, or 49.66 points, to 21,378.73.
· The Japanese market has been volatile this week, tumbling 3 percent on Monday and rebounding on Tuesday. Investor sentiment was hit by concerns about a possible U.S. economic recession after the three-month and 10-year portion of the Treasury yield curve inverted on Friday.
· China stocks closed higher on Wednesday following two straight sessions of losses, as a rebound on Wall Street aided sentiment, while weak industrial profit data fuelled hopes for more stimulus.
The blue-chip CSI300 index ended up 1.2 percent at 3,743.39, while the Shanghai Composite Index gained 0.9 percent to 3,022.72 points.
China’s industrial firms posted their worst slump in profits since late 2011 in the first two months of this year, data showed, as increasing strains on the economy in the face of slowing demand at home and abroad took a toll on businesses.
Reference: Reuters, CNBC
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