Shares were mostly higher in Asia on Thursday after a wobbly day of trading yielded modest gains on Wall Street.Shanghai’s benchmark CN:SHCOMP lost 1.4% to 3,189.28 after China’s central bank left its benchmark lending rate unchanged. While other major economies are raising rates to cool... Shares were mostly higher in Asia on Thursday after a wobbly day of trading yielded modest gains on Wall Street.Shanghai’s benchmark SHCOMP lost 1.4% to 3,189.
A report on inflation at the wholesale level showed prices are still rising rapidly, with pressures building underneath the surface, even if overall inflation slowed. It echoed a report on inflation at the consumer level Tuesday, which raised expectations for interest-rate hikes and triggered a rout for markets.
The central bank has already raised its benchmark interest rate four times this year, with the last two increases by three-quarters of a percentage point. The broader U.S. economy has been slowing, but consumers have remained resilient and the job market remains strong. Wall Street will get another update on inflation’s latest impact on spending when the government releases its retail sales report for August on Thursday.
Biden administration officials are scrambling to develop a plan to keep goods moving if the railroads shut down. The White House is also pressuring the two sides to settle their differences, and a growing number of business groups are lobbying Congress to be prepared to intervene and block a strike if they can’t reach an agreement.