Stock market today: Global shares mixed after New Year holiday, Chinese shares sink

Global shares trade mixed Thursday, with losses of more than 2 per cent in Chinese benchmarks, as Asia's main stock market in Tokyo stayed closed for New Year holidays.

France's CAC 40 edged up 0.2 per cent to 7,395.11, while Germany's DAX rose 0.6 per cent to 20,020.05. Britain's FTSE 100 gained 0.2 per cent to 8,192.31. US shares were set to drift higher with Dow futures up 0.5 per cent at 43,096.00. S&P 500 futures rose rose 0.6 per cent to 5,973.25. Oil prices gained.

Investors remain cautious over what US President-elect Donald Trump might do once he takes office, including raising tariffs on imports from China and other Asian countries.

The Shanghai Composite index dropped 2.7 per cent to 3,262.56 and the Hang Seng, in Hong Kong, fell 2.2 per cent to 19,623.32.

Upbeat talk by Chinese leader Xi Jinping in a New Year's address did little to raise optimism among market players who are hoping for more aggressive action to support the economy and boost share prices.

“We have proactively responded to the impacts of the changing environment at home and abroad. We have adopted a full range of policies to make solid gains in pursuing high-quality development. China's economy has rebounded and is on an upward trajectory,” Xi said in a New Year message according to the official Xinhua News Agency.

Elsewhere in the Asia-Pacific, Australia's S&P/ASX 200 rose 0.5 per cent to 8,201.20 and South Korea's Kospi was flat at 2,398.94.

On Wednesday, markets were closed on Wall Street for the New Year's Day holiday, as were nearly all other world markets.

Investors will get an updated snapshot of US construction spending for November on Thursday, while US manufacturing numbers for December will be released Friday.

US stock indexes closed mostly lower Tuesday as the market delivered a downbeat finish on the final day of another milestone-shattering year on Wall Street.

The US markets' stellar run was driven by a growing economy, solid consumer spending and a strong jobs market.

Skyrocketing prices for companies in the artificial intelligence business, such as Nvidia and Super Micro Computer, helped lift the market to new heights.

After three interest rate cuts in 2024, the Fed has signaled a more cautious approach heading into 2025 with inflation remaining sticky as the country prepares for Trump's transition into the White House.

Trump's threats to hike tariffs on imported goods have raised anxiety that inflation could be reignited as companies pass along the cost of tariffs.

In energy trading, benchmark US crude oil rose 21 cents to USD 71.93 a barrel. Brent crude, the international standard, added 21 cents to USD 74.85 a barrel.

The US dollar slipped to 156.68 Japanese Yen from 157.24 Yen. The Euro cost USD 1.0362, up from USD 1.0359.