- Canada to further cut international student, foreign worker permits
- YouTube launches new TV-focused tools for creators
- White Sox heading for worst season in MLB history
- China the top challenge in US history: senior diplomat
- Hong Kong democracy tycoon's son warns time running out
- New migraine drugs no better than cheap painkillers: big study
- Sean 'Diddy' Combs again denied bail in sex trafficking case
- Brewers clinch division title as MLB playoff race heats up
- Man City blunted by 'giant' Inter in Champions League stalemate
- US stocks dip despite larger Fed interest rate cut
- Man City held by Inter as PSG pinch win in Champions League
- All Blacks recall Beauden Barrett for Australia Test
- Fears of all-out war as new Lebanon device blasts kill 20, wound 450
- Spurs late show saves Postecoglou blushes at Coventry
- PSG snatch late goal to beat Champions League debutants Girona
- Gittens' late double gives Dortmund Champions League win at Brugge
- Man City blunted by Inter in Champions League stalemate
- Hidden talent: French Olympic star Marchand opts for disguise
- MrBeast named in California lawsuit over 'Beast Games' show
- Gauff splits with Gilbert as coach after 14-month run
- Hundreds of thousands at risk in Sudan's El-Fasher: UN
- Harvey Weinstein pleads not guilty to new sex crime charge
- Venezuelan opposition candidate says letter conceding election was coerced
- Ukraine official claims Russian advance in Kursk has been 'stopped'
- X update allows app to bypass Brazil ban: internet providers
- Fears of all-out war as new Lebanon device blasts kill 14, wound 450
- US Fed makes aggressive rate cut, weeks before election
- Arsenal's Odegaard faces lengthy injury absence
- India coal expansion risks massive methane growth: report
- China the top challenge in US history, top diplomat says
- US Fed makes larger half-point cut in first reduction since 2020
- Ronaldo's Al Nassr appoint former AC Milan boss Pioli
- Ainslie 'relieved' as British book place in Louis Vuitton Cup final
- Struggling Roma replace sacked icon De Rossi with Ivan Juric
- Women's NBA will add 15th team in Portland in 2026
- Brazil fires need harsher punishment: environmental police boss
- Boeing to start large temporary furloughs amid Seattle strike
- Fears of all-out war as new Lebanon device blasts kill nine, wound 300
- 'Emergency' declared over falling UK butterfly numbers
- McIlroy outlines threats to golf peace deal
- Stock markets, dollar slip before US rate decision
- Russian advance in Kursk 'stopped': Ukraine official to AFP
- UN members demand end to 'unlawful' Israeli occupation of Palestinian territories
- Snapchat pushes 'safer' platform image, but not everyone agrees
- Three dead, 100 wounded in new wave of Lebanon device explosions
- So where does the oceans' plastic waste come from?
- Allied war heroes buried in Netherlands... 80 years on
- Marsh coy over Australia's choice to open alongside Head
- New London sculpture pays tribute to trans community
- Lebanon doctors tell of horror after pager blasts
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Global stocks mixed as markets digest Fed, dollar surges
Global stocks ended trading mixed Thursday as markets weighed strong US economic data against concerns about tightening monetary policy, while the dollar spiked to a 20-month peak against the euro.
Stocks markets continued to behave fitfully, with European equities opening lower but ending higher and Wall Street stocks doing the opposite.
Investors are still adapting to the new world of tighter monetary policy, outlined most recently on Wednesday by Federal Reserve Chair Jerome Powell, said Tom Cahill of Ventura Wealth Management.
"I think the market is coming to terms with the idea that the Federal Reserve is not going to be as quick to support the market as it has been in the past," Cahill said.
On Wednesday, Powell signaled the Fed plans to hike interest rates in March, telling reporters the recovery in the world's largest economy is strong enough that it can handle higher borrowing costs.
Powell's press conference contained no huge surprises, but several market watchers described it as more hawkish than expected.
"Powell effectively admitted the Fed has been behind the curve and now must get its act together to get inflation to more acceptable levels. If that means upsetting financial markets, then so be it," said Fawad Razaqzada, market analyst with ThinkMarkets.
European indices had mostly retreated in the morning session following sharp losses in Asia. But the mood changed after the US Commerce Department released data showing that the world's largest economy grew by 5.7 percent in 2021, its fastest rate since 1984.
Wall Street also had bounced on the growth data, but later sputtered in the latest mid-session reversal.
One of the biggest movers was Tesla, which plunged 11.6 percent despite reporting record annual profits on surging sales, after Chief Executive Elon Musk warned supply chain problems would persist well into 2022.
Analysts also expressed disappointment that Musk did not offer any fresh details on a coming generation of vehicles.
For the second day in a row, the dollar rallied forcefully against the euro and other major currencies, touching a 20-month peak against the euro as the market digests the Fed pivot.
"The Fed is on track to raise rates in March and could possibly do so by a bold 50 basis points given the US economy's stronger foundation compared to its previous starting point entering a rate hiking cycle," said Joe Manimbo, analyst at Western Union Business Solutions.
"The specter of wider interest rate differentials between the euro and dollar leave the former at greater downside risk."
- Key figures around 2140 GMT -
New York - Dow: DOWN less than 0.1 percent at 34,160.78 (close)
New York - S&P 500: DOWN 0.5 percent at 4,328.51 (close)
New York - Nasdaq: DOWN 1.4 percent at 13,352.78 (close)
London - FTSE 100: UP 1.1 percent at 7,554.31 (close)
Paris - CAC 40: UP 0.6 percent at 7,023.80 (close)
Frankfurt - DAX: UP 0.4 percent at 15,524.27 (close)
EURO STOXX 50: UP 0.5 percent at 4,184.97 (close)
Tokyo - Nikkei 225: DOWN 3.1 percent at 26,170.30 (close)
Hong Kong - Hang Seng Index: DOWN 2.0 percent at 23,807.00 (close)
Shanghai - Composite: DOWN 1.8 percent at 3,394.25 (close)
Euro/dollar: DOWN at $1.1147 from $1.1240 late Wednesday
Pound/dollar: DOWN at $1.3381 from $1.3463
Euro/pound: DOWN at 83.27 pence from 83.49 pence
Dollar/yen: UP at 115.36 yen from 114.64 yen
Brent North Sea crude: DOWN 0.6 percent at $89.34 per barrel
West Texas Intermediate: DOWN 0.8 percent at $86.61 per barrel
burs-jmb/cs
M.Ouellet--BTB