China mainland shares rise on rate cut as U.S. markets await big earnings week
Briefly

China's shares rose modestly on Monday after the People's Bank of China cut its one-year and five-year prime lending rates, which had a positive impact on real estate stocks. The CSI 300 saw a 0.25% rise, and notably, the CSI 300 Real Estate Index increased by 1.02%. Despite this optimistic trend in mainland shares, investors remained cautious, looking for further details regarding government stimulus to bolster economic recovery.
In Japan, the Nikkei 225 fell 0.07%, failing to hold gains from a rise in technology stocks due to significant drops in the financial and industrial sectors. Notably, factory automation company Keyence and chip-testing equipment firm Advantest reported increases of 1.66% and 2.67% respectively. The uncertainty stemming from upcoming elections on October 27 has caused investors to adopt a wait-and-see approach, particularly regarding the performance of the ruling Liberal Democratic Party.
European stocks started the week with small gains predominantly driven by the oil and gas sector, with shares in major firms such as Shell, TotalEnergies, and BP all seeing increases of over 1% in morning trading. JDE Peet's shares experienced a notable surge of over 15% following the announcement regarding their new CEO, Rafael Oliveira. However, the overall Stoxx Europe 600 index remained largely flat, indicating mixed investor sentiment in the broader market.
In premarket trading in the U.S., the outlook appeared mixed with S&P 500 Futures slightly down at 5,903.50, reflecting a loss of 0.04%. Meanwhile, the broader S&P 500 index showed a moderate gain of 0.40%, indicating a divergent sentiment among investors ahead of important economic indicators. This juxtaposition highlights a cautious approach as markets assess ongoing economic conditions and potential governmental financial interventions.
Read at Fortune
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