U.S. stock indices rebounded on Tuesday despite tensions in Europe. Some investors are still hoping for a last-minute deal that would help Greece pay its debts and stay in the single currency area. U.S. companies have limited exposure to Greece, however there's some uncertainty about the way Europe would be affected if Greece leaves the euro zone.
Yesterday's consumer confidence report supported U.S. stocks as the corresponding index rose to 101.4 in June vs 97.2 expected and 94.6 previous.
The Dow Jones industrial average rose 50.32 points, or 0.29%, to 17,646.67. The Standard & Poor's 500 gained 9.44 points, or 0.46%, to 2,067.08 (8 out of its 10 major sectors advanced) and the Nasdaq Composite added 35.06 points, or 0.71%, to 4,993.53.
This morning in Asia Shanghai Composite Index declined by 1.21%, or 51.86 points, to 4,225.36. Meanwhile the Nikkei gained 0.31%, or 63.21 points, to 20,298.94. Hong Kong markets are on holiday.
Asian stocks mostly rebounded after recent sharp declines. This morning the latest Markit survey of Japanese manufacturers showed that economic activity in the sector expanded. Meanwhile Chinese data were mixed: industrial activity remained sluggish (49.4 vs 49.2 prev.), but the services sector picked up in June (53.8 vs 53.2 prev.). Chinese stocks volatility is still high.