Global stocks mixed after Wall St falls on weaker US data

Wall Street futures were mixed.Overnight, Wall Streets benchmark SP 500 index broke a seven-day streak of record closes and fell after the Institute of Supply Management reported service industry activity grew in June at a slower rate than forecast.The disappointing drop suggests the U.S. recovery is not immune to global pockets of resurgence of the coronavirus, said Mizuho Bank in a report.The FTSE 100 in London opened 0.5per cent higher at 7,136.05.

Global stock markets were mixed Wednesday after Wall Street declined on weaker U.S. services activity.

London, Frankfurt and Shanghai advanced while Tokyo, Hong Kong and Seoul declined. Wall Street futures were mixed.

Overnight, Wall Street's benchmark S&P 500 index broke a seven-day streak of record closes and fell after the Institute of Supply Management reported service industry activity grew in June at a slower rate than forecast.

The “disappointing drop” suggests the U.S. recovery “is not immune” to global pockets of resurgence of the coronavirus, said Mizuho Bank in a report.

The FTSE 100 in London opened 0.5per cent higher at 7,136.05. Frankfurt's DAX gained 0.7per cent to 15,618.92 while the CAC 40 in Paris added 0.3per cent to 6,525.16.

On Wall Street, the S&P 500 future was up less than 0.1per cent while that for the Dow Jones Industrial Average was off less than 0.1per cent.

On Tuesday, the S&P lost 0.2per cent but still is up 15.6per cent for the year. The Dow shed 0.6per cent while the Nasdaq Composite rose 0.2per cent.

In Asia, Tokyo's Nikkei 225 in Tokyo sank 1per cent to 28,366.95 and the Hang Seng in Hong Kong lost 0.4per cent to 27,960.62.

The Shanghai Composite Index advanced 0.7per cent to 3,553.72 after China's Cabinet announced it would impose stricter data security and other standards on companies that want to join foreign stock exchanges.

The announcement, at a time when Beijing is tightening control over technology industries, is a potential hurdle for Chinese entrepreneurs who have raised billions of dollars abroad. It comes after ride-hailing service Didi Global Inc. was ordered to stop signing up new users and remove its app from online stores while it increases security for customer information.

The Kospi in Seoul retreated 0.6per cent to 3,285.34 while the S&P-ASX 200 in Sydney gained 0.9per cent to 7,326.90.

India's Sensex added 0.1per cent to 52.933.97. New Zealand, Singapore and Jakarta declined.

Wall Street faltered after ISM reported purchasing managers' index fell to 60.1 from May's record 64.0 on a 100-point scale on which numbers above 50 show activity increasing.

That was well below the 63.3 expected by forecasters surveyed by The Wall Street Journal.

Travel, hospitality and other services industries have enjoyed a boom as U.S. restrictions on consumer activity ease.

That pushed up U.S. prices, but the latest measure could support the Federal Reserve's position that the inflation spike is temporary. That could help to reassure investors the Fed and other central banks won't feel pressure to cool price rises by rolling back economic stimulus.

In energy markets, benchmark U.S. crude gained USD1.07 to USD74.44 per barrel in electronic trading on the New York Mercantile Exchange.

The contract fell USD1.79 to USD73.37 per barrel on Tuesday. Brent crude, the basis for pricing international oils, added 95 cents to USD75.48 per barrel in London. It plunged USD2.63 the previous session to USD74.53.

The dollar gained to 110.76 yen from Tuesday's 110.63. The euro was little-changed at USD1.1825.