The FTSE and European stocks were mixed on Tuesday with London losing its earlier boost from lower than expected UK government borrowing figures that fuelled hopes of tax cuts for consumers.
The FTSE 100 (^FTSE) slipped 0.1% to 7,479 points during afternoon trading, while the CAC 40 (^FCHI) in Paris lost 0.5% to 7,376 points. In Germany, the DAX (^GDAXI) fell 0.3% to 16,638. The Stoxx 600 (STOXX) fell 0.3%.
UK public sector borrowing rose by £7.8bn in December, about half the borrowing made in the same month in 2022, according to the Office for National Statistics on Tuesday. It is the lowest for the month borrowing since 2019 and significantly lower than the £14bn expected by the Office for Budget Responsibility.
Read more: UK public debt slows and raises hopes for tax cuts
In Wall Street, US stocks hit pause on a record-setting rally as focus turned to the day’s stream of earnings for insight into the health of corporate America and the economy.
The Dow Jones (^DJI) lost 0.2% to 37,923 points. The S&P 500 (^GSPC) climbed 0.1% to 4,854 points and the tech-heavy NASDAQ (^IXIC), gained 0.1% to 15,378.
Hong Kong stocks rebounded Tuesday to lead gains in Asia markets, while Japan’s Nikkei 225 index was slightly lower after the Bank of Japan kept its monetary policy unchanged in its first policy meeting of the year.
The Hang Seng (^HSI) in Hong Kong rose 2.3% to 15,315 while the Shanghai Composite (000001.SS) climbed 0.5% to 2,770 points. Tokyo’s Nikkei 225 (^N225) lost almost 0.1% to close at 36,517 points.
Chinese stocks struggled as speculation of a huge rescue package from Beijing underwhelmed investors worried about the shaky economy.
Read more: UK interest rates to fall to 4% this year, say experts
Meanwhile, oil prices were little changed as traders weighed a host of conflicting supply and demand worries, from rising tensions in the Middle East to cold weather woes disrupting production in the United States.
West Texas Intermediate (CL=F) slipped 0.6% and was trading at $74 per barrel. Brent (BZ=F) crude climbed 0.7% to $79 per barrel.
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