LDN - Business

Stock market today: Asian shares fall as China reports lackluster data, while bitcoin hits new highs

[December 16, 2024] By ELAINE KURTENBACH

BANGKOK (AP) — Shares retreated Monday in Asia after China reported lackluster economic indicators for November, while bitcoin surged to fresh highs, topping $106,000.

Oil prices fell and U.S. futures were little changed.

Bitcoin was trading at $104,742 early Monday, up 3.4% but down from an earlier high of $106,495.

The price of the cryptocurrency has surged since the election in November given U.S. President-elect Donald Trump's bitcoin-friendly stance. Trump signaled a lighter regulatory approach to digital currencies with his choice of crypto advocate Paul Atkins to be the next chair of the Securities and Exchange Commission. Bitcoin was trading below $70,000 before the Nov. 5 election.

A report Monday showed Chinese retail sales slowed in November, while growth in factory output was flat and home sales declined. The report said the economy and employment were stable, but noted a complicated “external environment," reflecting unease over the outlook in coming months once U.S. President-elect Donald Trump takes office, potentially delivering on promises to sharply hike tariffs on imports from China.

Japan's Nikkei 225 index was almost unchanged at 39,457.49, while the Hang Seng in Hong Kong lost 0.9% to 19,795.49.

The Shanghai Composite index slipped 0.2% to 3,383.33.

South Korea's Kospi lost 0.2% to 2,488.97 as South Korean law enforcement authorities were pushing to summon impeached President Yoon Suk Yeol for questioning over his short-lived martial law decree and the Constitutional Court met to discuss whether to remove him from office or reinstate him.

Australia's S&P/ASX 200 shed 0.6% to 8,249.50.

Taiwan's Taiex edged 0.1% higher, while the Sensex in India fell 0.5%. Thailand's SET dropped 0.9%.

On Friday, major stock indexes on Wall Street drifted to a mixed finish Friday, capping a rare bumpy week for the market.

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People stand in front of an electronic stock board showing Japan's Nikkei index at a securities firm Monday, Dec. 16, 2024, in Tokyo. (AP Photo/Eugene Hoshiko)

The S&P 500 ended essentially flat, down less than 0.1% at 6,051.09. The benchmark index posted a loss for the week, its first after three straight weekly gains.

The Dow Jones Industrial Average slipped 0.2% to 43,828.06, while the Nasdaq composite rose 0.1% to 19,926.72, ending just below the record high it set on Wednesday.

There were more than twice as many decliners than gainers on the New York Stock Exchange.

Gains in technology stocks helped temper losses in communication services, financials and other sectors of the market.

But some tech stocks were a drag on the market. Nvidia fell 2.2%, Meta Platforms dropped 1.7% and Google parent Alphabet slid 1.1%.

Wall Street's rally stalled last week amid mixed economic reports and ahead of the Federal Reserve's last meeting of the year. The central bank is widely expected to cut interest rates for a third time since September when it meets this week.

Expectations of a series of rate cuts has driven the S&P 500 to 57 all-time highs so far this year.

The Fed has been lowering its benchmark interest rate after aggressively hiking rates to tame inflation. It raised rates from near-zero in early 2022 to a two-decade high by the middle of 2023. Inflation eased under pressure from higher interest rates, nearly to the central bank's 2% target.

The economy, including consumer spending and employment, held strong despite the squeeze from inflation and high borrowing costs. A slowing job market, though, has helped push a long-awaited reversal of the Fed's policy.

In other dealings early Monday, U.S. benchmark crude oil lost 47 cents to $70.82 per barrel. Brent crude, the international standard, lost 46 cents to $74.03 per barrel.

The U.S. dollar fell to 153.68 Japanese yen from 153.71 yen. The euro rose to $1.0511 from $1.0491.

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