The Japan Times - Stocks mostly rise, oil falls as Trump fans Ukraine peace hopes

London was a rare faller owing to sharp losses to share prices of big companies, including Unilever and Barclays, on mixed earnings which overshadowed news that the UK economy surprisingly grew in late 2024.

Overall however, US President Donald Trump's talks with Russian leader Vladimir Putin to start negotiating an end to the war in Ukraine "has fostered a risk-on attitude among investors", noted Naeem Aslam, chief investment officer at Zaye Capital Markets.

The positive showing "is a result of the potential reduction in geopolitical risks", he added.

With Russia being a major producer of oil, crude futures fell heavily on easing supply concerns, while the dollar lost some of its safe-haven support.

The development surrounding Ukraine helped to ease fears over high US inflation -- a situation that risks worsening because of Trump's tariffs according to analysts.

Wall Street fell Wednesday after official data showed annual US consumer price inflation rose to three percent last month, above expectations.

Core prices, excluding food and energy, also came in hotter than estimates.

The readings dealt a blow to hopes that the US Federal Reserve would continue to lower rates this year, having cut three times in 2024, with traders now pricing in just one.

The figures came after Fed chief Jerome Powell on Tuesday warned that policymakers were in no hurry to loosen monetary policy further.

"In our view, the bottom line is clear: the Fed has no reason to cut further. Inflation seems to be stuck above target," wrote analysts at BoA Global Research.

"The bar for hikes is still high, but they should be part of the conversation after today's data."

Soon after the inflation numbers were released, Trump hit out at his predecessor Joe Biden, who he accused of fanning prices.

Trump called for the Fed to lower rates, adding they would "go hand in hand" with his plans to impose tariffs on major US trading partners -- despite many economists arguing that both measures would boost inflation.

- Key figures around 1100 GMT -

London - FTSE 100: DOWN 0.6 percent at 8,753.66 points

Paris - CAC 40: UP 1.4 percent at 8,151.20

Frankfurt - DAX: UP 1.5 percent at 22,476.35

Tokyo - Nikkei 225: UP 1.3 percent at 39,461.47 (close)

Hong Kong - Hang Seng Index: DOWN 0.2 percent at 21,814.37 (close)

Shanghai - Composite: DOWN 0.4 percent at 3,332.48 (close)

New York - Dow: DOWN 0.5 percent at 44,368.56 (close)

Euro/dollar: UP at $1.0418 from $1.0387 on Wednesday

Pound/dollar: UP at $1.2496 from $1.2446

Dollar/yen: DOWN at 153.78 yen from 154.39 yen

Euro/pound: DOWN at 83.39 pence from 83.40 pence

West Texas Intermediate: DOWN 1.5 percent at $70.31 per barrel

Brent North Sea Crude: DOWN 1.4 percent at $74.15 per barrel

Y.Hara--JT