Stock market today: Global stocks mostly rise, with Japan’s Nikkei 225 index logging record close

TOKYO (AP) — Global shares were mostly higher Tuesday, with Tokyo’s benchmark hitting another record.

France’s CAC 40 lost 0.5% in early trading to 7,590.35, while Germany’s DAX fell 0.3% to 18,418.81. Britain’s FTSE 100 rose 0.2% to 8,209.03. The future for the Dow Jones Industrial Average was up 0.1% and that for the S&P 500 rose 0.2%.

Japan’s benchmark Nikkei 225 jumped 2.0% to finish at a record high 41,580.17. It briefly topped previous intraday trading highs.

Technology-related shares led gains, with computer chip maker Tokyo Electron surging 3.8% and chip testing equipment maker Advantest up 4.1%. Precision tools maker Disco Corp. rose 2.5% and Shin-Etsu Chemical, which supplies silicon for chips, among other materials, was up 2.7%.

Australia’s S&P/ASX 200 gained 0.9% to 7,829.70. South Korea’s Kospi edged up 0.3% to 2,867.38. Hong Kong’s Hang Seng index was little changed, inching down less than 0.1% to 17,523.23, while the Shanghai Composite surged 1.3% to 2,959.37.

A currency trader watches monitors near the screen showing the Korea Composite Stock Price Index (KOSPI), left, and the foreign exchange rate between U.S. dollar and South Korean won at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Tuesday, July 9, 2024. (AP Photo/Ahn Young-joon)

Photo: ASSOCIATED PRESS/Ahn Young-joon

“Risk-taking will still likely be more measured ahead of the Federal Reserve Chair’s testimony and the key U.S. inflation release this week,” Yeap Jun Rong, a market analyst at IG, said in a commentary.

On Monday, stocks wavered to a mixed close on Wall Street, nudging the S&P 500 and the Nasdaq composite to more records. The Dow gave up an early gain and fell 0.1%.

Traders are looking ahead to several earnings reports this week including updates from Delta Air Lines on Thursday.

Federal Reserve Chair Jerome Powell addresses Congress on Tuesday and Wednesday. The central bank has kept its benchmark interest rate at its highest level in more than two decades in an effort to tame inflation.

The Fed’s goal is to cool inflation back to 2% without slowing economic growth too much. Inflation is still squeezing consumers, but it has fallen significantly from its peak two years ago. Economic growth has slowed this year, but it remains relatively strong amid a solid jobs market and consumer spending.

“The first day of the testimony is always the most important day as we will get to catch the overall tone and the key messages. Some expect Powell to sound cautious regarding the progress on inflation and tell the U.S. politicians to be patient until the Fed gathers enough evidence that inflation is on a solid path toward their 2% target,” said Ipek Ozkardeskaya, senior analyst at Swissquote Bank.

The central bank will get more updates on inflation at the consumer level on Thursday. Wall Street expects the latest government report to show inflation easing to 3.1% in June from 3.3% in May.

A report for inflation at the wholesale level, before costs are passed on to consumers, is expected Friday.

In energy trading, benchmark U.S. crude fell 44 cents to $81.89 a barrel. Brent crude, the international standard, edged down 40 cents to $85.35 a barrel.

In currency trading, the U.S. dollar edged up to 161.02 Japanese yen from 160.80 yen.

The euro cost $1.0818, down from $1.0827.

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