World shares push higher as US stocks inch toward their records
[June 04, 2025] By
ELAINE KURTENBACH
Shares advanced Wednesday in Europe and Asia after U.S. stocks drifted
closer to their records.
Germany's DAX climbed 0.9% to 24,309.65, while the CAC 40 in Paris
picked up 0.7% to 7,819.43. Britain's FTSE 100 inched up 0.1% to
8,798.65.
The futures for the S&P 500 and the Dow Jones Industrial Average gained
0.2%.
South Korea’s Kospi led gains in Asia, jumping 2.7% to 2,770.84 after
the liberal opposition candidate Lee Jae-myung was elected president.
Lee's victory caps months of political turmoil triggered by the stunning
but brief imposition of martial law by the now-ousted conservative
leader Yoon Suk Yeol. Top priorities will include government spending
and trade negotiations with the United States.
“Regardless of his political roots, boosting growth will be a key
challenge. Even before President Trump’s tariffs hit exports, the
economy contracted by 0.2% quarter on quarter, seasonally adjusted, in
the first three months of the year. The figures highlighted fragile
business activity and private consumption,” Min Joo Kang of ING
Economics said in a report.
Tokyo's Nikkei 225 index surged 0.8% to 37,747.45 on gains for
technology and pharmaceutical companies.
Toyota Motor Corp.'s shares rose 1.9% after it announced it was buying
Toyota Industries Corp., a maker of auto parts and lift trucks, for $33
billion and taking it private. Toyota Industries' shares tumbled nearly
12%.
Chinese shares were modestly higher. The Hang Seng in Hong Kong added
0.6% to 23,654.03, while the Shanghai Composite index gained 0.4% to
3,376.20.
In Australia, the S&P/ASX 200 closed 0.9% higher at 8,541.80.
Taiwan's Taiex climbed 2.3%.
Investors were watching for updates on President Donald Trump’s tariffs,
including the imposition of 50% tariffs on imports of steel and aluminum
due to take effect Wednesday. With industries lobbying for him to expand
that protection to products made from those materials, analysts say
prices of many basic items will likely rise.
On Tuesday, the S&P 500 rose 0.6% and was less than 3% away from its
all-time high set earlier this year. The Dow industrials added 0.5% and
the Nasdaq composite rose 0.8%.
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A person walks in front of an electronic stock board showing Japan's
Nikkei index at a securities firm Wednesday, June 4, 2025, in Tokyo.
(AP Photo/Eugene Hoshiko)
 Dollar General jumped 15.8% for one
of the market’s bigger gains after reporting stronger profit and
revenue for the start of the year than analysts expected.
A report Tuesday showed U.S. employers were advertising more job
openings at the end of April than economists expected, the latest
signal that the labor market remains resilient. It set the stage for
a more important report coming on Friday, which will show how much
hiring and firing U.S. employers did in May.
On the trade front, hopes are still high that Trump will reach trade
deals with other countries that will ultimately lower tariffs,
particularly with the world’s second-largest economy.
Tech stocks helped lead the way again as Nvidia rose 2.9%, and
Broadcom climbed 3.3%. The chip companies have recovered their sharp
losses from earlier this year borne amid worries their stock prices
had shot too high.
Treasury yields held relatively steady following the encouraging
report on the U.S. job market.
It’s a cooldown from a sharp rise for yields over the last two
months. Yields had been climbing in part on worries about how the
U.S. government may be set to add trillions of dollars to its debt
through tax cuts.
Higher Treasury yields make it more expensive for U.S. households
and businesses to borrow money and can discourage investors from
paying high prices for stocks and other investments.
In other dealings early Wednesday, U.S. benchmark crude oil added 1
cent to $63.42 per barrel. Brent crude, the international standard,
rose 4 cents to $65.67 per barrel.
The U.S. dollar fell to 143.88 Japanese yen from 144.00 yen. The
euro rose to $1.1404 from $1.1370.
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