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- Zelensky says NKorea sending troops to Russian army
- England beat Finland to get back on track
- King and Lewis propel West Indies to T20 triumph over Sri Lanka
- Pre-Halloween 'Terrifier' lands atop North America box office
- 'I still plan to compete and play next season,' says Djokovic
- Harris, Trump seek advantage in knife-edge election battle
- Chepngetich shatters women's marathon world record in Chicago
- Kamindu and Asalanka power Sri Lanka to 179 against West Indies
- Chepngetich shatters women's marathon world record as Korir wins in Chicago
- Spain send injured Yamal home 'to prioritise player's health'
- In milestone, SpaceX 'catches' megarocket booster after test flight
- Iraq walks fine line with pro-Iran factions to avoid war
- Race four abandoned after New Zealand breeze into 3-0 lead in America's Cup
- West Indies win toss, put Sri Lanka in to bat in first T20
- Sudan rescuers say air strike killed 23 in Khartoum market
- Netanyahu tells UN to move Lebanon peacekeepers out of 'harm's way'
- Bangladeshi Hindus defy attack worries to celebrate festival
- Kiwis three up in America's Cup as Ineos pay for time penalty
- In a first, SpaceX 'catches' megarocket booster after test flight
- Dominant England crush Scotland at Women's T20 World Cup
- Dropped: The rise and fall of Pakistan batting maestro Babar Azam
- Israel fights Hezbollah on the ground, pounds Lebanon from the air
- Sabalenka outlasts local hero Zheng to win third Wuhan Open title
- Bangladeshi Hindus shrug off attack worries to celebrate festival
- Former Pakistan captain Azam dropped for second England Test
- 'Opportunist' Dupont dazzles on Toulouse return
- Australia replace injured Vlaeminck with Graham at Women's T20 World Cup
- Sinner wins Shanghai Masters to deny Djokovic 100th career title
- Ubisoft fears assassin's hit over falling sales
- Israel hits Lebanon from the air and fights Hezbollah on the ground
- China's Yin has 'goosebumps' as she romps to LPGA win in Shanghai
- Pakistan to re-use Multan pitch for second England Test
- Blair and King Charles hail Salmond's 'devotion' to Scotland
- Vietnam, China hold talks on calming South China Sea tensions
- SpaceX will try to 'catch' giant Starship rocket shortly before landing
- England captain Stokes in line for second Pakistan Test return
- Japan's former empress Michiko discharged after surgery: reports
- Japan's former empress Michiko discharged after surgey: reports
- Israel widens Lebanon strikes as troops fight Hezbollah along border
- Bowlers' graveyards: Pakistan's placid pitches under fresh fire
- 'Little Gregory' murder haunts France 40 years on
- Vietnam, China to expand rail links, cross-border payments
- Americans get their belief back as Pochettino makes his mark
- Vietnam, China to boost economic, defence cooperation
- Winning start for Pochettino's American adventure
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- Amazon wants to be everything to everyone
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- Winning start for Poch's American adventure
Global stocks stumble at start of new trading year
Global stock markets mostly dipped Tuesday, the first trading day of the year, as a global equity rally stumbled on concerns traders had been too optimistic in the final days of 2023.
Stock markets soared to new heights in the final months last year in New York, Frankfurt, Paris and Tokyo, as investors piled into equities in anticipation of interest rate cuts, which can make stocks more appealing to hold.
But the rally did not extend into the new year, as investors in many markets pulled back.
"One of the concerns we have is that investors were extremely bullish going into this year, and we just think perhaps that was setting up for some disappointment" Jack Ablin, chief investment officer at Cresset, told AFP.
"We expect a modest pullback," he added, noting "we just got a little overbought on the investor enthusiasm."
On Wall Street, the Nasdaq Composite Index slumped 1.6 percent while the broad-based S&P 500 lost 0.6 percent.
The Dow Jones Industrial Average was one of the few bright points, inching up 0.1 percent.
- 'Performance chasing' -
In Europe, most major stock indexes also slipped, although the DAX in Frankfurt notched a small gain.
Market participants have "recognized that there was some performance chasing at the end of 2023 and that some profit taking was bound to happen in the wake of a parabolic advance," said Briefing.com analyst Patrick O'Hare.
Nevertheless, investors retain a positive outlook, according to analysts.
"There remains an increasing belief that (Federal Reserve) rate cuts, which have bullishly marked all capital market trends in the last eight weeks, are still fully ingrained in stock market sentiment," said SPI Asset Management's Stephen Innes.
He added that there was a question on how investors would reconcile the difference between market expectations of 150 basis points of cuts and the Fed's forecast of 75.
- Asian market losses -
Despite the upbeat outlook on rates, Asian markets started the year with little fanfare. Hong Kong and Shanghai each extended last year's losses.
Traders were unmoved by a speech by Chinese President Xi Jinping in which he said the economy had become "more resilient and dynamic."
Observers warned that while Beijing has pledged a series of measures to kickstart growth, more was needed to instill confidence, particularly regarding the property sector.
Tokyo was closed for a holiday, though investors are keeping an eye on developments in Japan after a huge earthquake that Prime Minister Fumio Kishida said caused "extensive" damage and numerous casualties.
Oil prices briefly rallied more than two percent on supply concerns after Iran dispatched a warship to the Red Sea in response to the US Navy's destruction of three Huthi boats, though they later reversed course.
The advance in oil prices "turned into nothing as investors turned their attention to money markets and yields instead," said Axel Rudolph, an analyst at trading platform IG.
- Key figures around 1630 GMT -
New York - Dow: UP 0.1 percent at 37,715.04 points (close)
New York - S&P 500: DOWN 0.6 percent at 4,742.83 (close)
New York - Nasdaq: DOWN 1.6 percent at 14,765.94 (close)
London - FTSE 100: DOWN 0.2 percent at 7,721.52 (close)
Paris - CAC 40: DOWN 0.2 percent at 7,530.86 (close)
Frankfurt - DAX: UP 0.1 percent at 16,769.36 (closed)
EURO STOXX 50: DOWN 0.2 percent at 4,512.81 (close)
Hong Kong - Hang Seng Index: DOWN 1.5 percent at 16,788.55 (close)
Shanghai - Composite: DOWN 0.4 percent at 2,962.28 (close)
Tokyo - Nikkei 225: Closed for a holiday
Dollar/yen: UP at 141.99 yen from 141.01 yen
Euro/dollar: DOWN at $1.0946 from $1.1040
Pound/dollar: DOWN at $1.2621 from $1.2738
Euro/pound: UP at 86.70 pence from 86.63 pence
Brent North Sea Crude: DOWN 1.5 percent at $75.89 per barrel
West Texas Intermediate: DOWN 1.8 percent at $70.38 per barrel
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F.Schneider--AMWN