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- Barca hoping to return to Camp Nou 'by end of year'
- Trump to open second golf course at Scotland resort in summer 2025
- Super-sub Jhon Duran rewarded with new Aston Villa deal
- US duo win Nobel for gene regulation breakthrough
- Masood hits first ton for four years to power Pakistan to 233-1
- Fritz wins delayed match to reach Shanghai Masters third round
- Naomi Osaka pulls out of Japan Open with back injury
- Weather may delay launch of mission to study deflected asteroid
- China to flesh out economic stimulus plans after bumper rally
- Artist Marina Abramovic hopes first China show offers tech respite
- Asian markets track Wall St rally on US jobs data
- Pakistan 122-1 at lunch in first England Test
- Kazakhs approve plan for first nuclear power plant
- World marks anniversary of Oct. 7 attack on Israel
- 'Second family': tennis stars hunt winning formula with new coaches
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- Israel marks first anniversary of Hamas's October 7 attack
- Darvish tames Ohtani as Padres thrash Dodgers
- Asian markets track Wall St rally on jobs data
- Family affair as LeBron, Bronny James make Lakers bow
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- Tunisia incumbent Saied set to win presidential vote: exit polls
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- Yu bags first PGA Tour win with playoff win
- PSG held by Nice to leave Monaco clear at top of Ligue 1
- AC Milan fall at Fiorentina after De Gea's penalty heroics
- Lewandowski treble for leaders Barca as Atletico held
- Fresh Israeli strikes hit south Beirut
- Sucic stunner earns Real Sociedad draw against Atletico
- PSG draw with Nice, fail to reclaim top spot in Ligue 1
- Gudmundsson downs AC Milan after De Gea's penalty heroics for Fiorentina
- 'Yes' vote prevails in Kazakhstan nuclear plant vote: TV
- 'Difficult day': Oct 7 commemorations begin with festival memorial
- Commemorations begin for anniversary of attack on Israel
- Lewandowski hat-trick powers Liga leaders Barca to Alaves victory
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- India maintain Pakistan stranglehold as Windies cruise at Women's T20 World Cup
- 'We will win!': Mozambique's ruling party confident at final vote rally
- Tunisia voting ends as Saied eyes re-election with critics behind bars
- Florida braces for Milton, FEMA head slams 'dangerous' Helene misinformation
- Postecoglou slams 'unacceptable' Spurs after 'terrible' loss at Brighton
- Marmoush double denies Bayern outright Bundesliga top spot
- Rallies worldwide call for Gaza, Lebanon ceasefire
Stocks bounce back after rout but jitters remain
Wall Street stocks sought to rebound on Tuesday following a global rout fuelled by US recession fears, but analysts warned that market volatility is unlikely to be over.
Tokyo, which suffered a record loss Monday, led gains in Asia to close up more than 10 percent, making up some of its losses from a catastrophic start to the week as traders bought beaten-down stocks.
The rebound failed to gain much traction in Europe, however, where the main markets closed narrowly mixed.
The main indexes in New York were up slightly, far from enough to recoup Monday's losses.
Analysts warned there may be more volatility to come.
"We might not be out of the woods yet," said market analyst Fawad Razaqzada at City Index and FOREX.com.
Monday's sell-off followed data Friday showing fewer US jobs than expected were created last month, while another report pointed to continuing weakness in the manufacturing sector.
That led to warnings the US Federal Reserve had kept rates at more than two-decade highs for too long and risked causing a recession.
Monday's plunge was also triggered by a rally in the value of the yen which threw a wrench into a common trading strategy of borrowing at low interest rates in Japan and investing in high yielding assets elsewhere, like US tech stocks.
But with the Bank of Japan raising interest rates last week and the Fed poised to cut rates, this so-called yen carry trade was at risk and many investors needed to dump assets to cover their positions, magnifying the rout.
With the yen giving up some of its recent gains Tuesday, the markets were calmer.
"The carry-trade unwinding might have settled down for now, but this market is understandably leery of it revving back up given how entrenched it had become with Japan holding rates below zero, or near zero, for so long," said Briefing.com analyst Patrick O'Hare.
David Morrison, senior market analyst Trade Nation, said "we have no idea how far through the carry-trade unwind we are", adding "the probability is that this isn’t over."
Still, Wall Street stocks bounced, with the tech-heavy Nasdaq Composite rising 1.0 percent after having lost more than three percent on Monday.
"There is some buy-the-dip interest. Still, it is fair to say that it is not a hard-charging rebound effort given the scope of recent losses," added O'Hare.
European stocks couldn't hold onto early gains and fell back in afternoon trading.
Monday's stock plunge sparked speculation that the US central bank could carry out an emergency interest rate cut to stave off a recession.
Analysts have downplayed that possibility.
"Emergency intervention from the Fed seems unlikely," said Richard Hunter, head of markets at Interactive Investor.
Briefing.com's O'Hare said the market also remains leery of the US economy slowing more than expected.
He pointed to reassuring data, including the US trade deficit narrowing in June, with both imports and exports increasing, "which is a constructive trade dynamic for the global economy".
A forecast-beating read on the key US services sector on Monday also provided some reassurance that the world's largest economy isn't heading headlong into recession.
- Key figures around 1530 GMT -
New York - Dow: UP 0.6 percent at 38,942.44 points
New York - S&P 500: UP 1.1 percent at 5,240.56
New York - Nasdaq Composite: UP 1.0 percent at 16,356.28
London - FTSE 100: UP 0.2 percent at 8,026.69 (close)
Paris - CAC 40: DOWN 0.3 percent at 7,130.04 (close)
Frankfurt - DAX: UP less than 0.1 percent at 17,354.32 (close)
EURO STOXX 50: UP less than 0.1 at 4,575.22 (close)
Tokyo - Nikkei 225: UP 10.2 percent at 34,675.46 (close)
Hong Kong - Hang Seng Index: DOWN 0.3 percent at 16,647.34 (close)
Shanghai - Composite: UP 0.2 percent at 2,867.28 (close)
Dollar/yen: UP at 144.62 yen from 144.05 yen on Monday
Euro/dollar: DOWN at $1.0931 from $1.0959
Pound/dollar: DOWN at $1.2698 from $1.2773
Euro/pound: UP at 86.08 pence from 85.77 pence
Brent North Sea Crude: UP 0.3 percent at $76.54 per barrel
West Texas Intermediate: UP 0.4 percent at $73.22 per barre
burs-rl/gv
F.Pedersen--AMWN