Global stocks sink before US Congress votes on deal to avoid debt default

A person walks past an electronic stock board showing Japan's Nikkei 225 index at a securities firm Wednesday, May 31, 2023, in Tokyo. Asian stock markets sank Wednesday ahead of a vote by Congress on a deal to avert a government debt default, while a downturn in Chinese factory activity deepened, adding to signs global economic activity is weakening.– Global stock markets sank Wednesday ahead of a vote by the U.S.

In early trading, the FTSE 100 in London lost 0.1% to 7,514.18 and the CAC 40 in Paris sank 0.4% to 7,178.13. The DAX in Frankfurt retreated 0.3% to 15,868.35. Even without a default, all the partisan brinkmanship in Washington could erode faith in the U.S. government. That could trigger another downgrade to its credit rating, following Standard & Poor's rating cut in 2011.

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Stock market today: Wall Street rises as DC moves to avoid defaultWall Street is ticking higher in its first trading after Washington struck a tentative deal to avoid a potentially disastrous default on its debt.
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Wall Street sees further upside for Japan stocks as they notch a fresh three-decade highJapan's Topix (Tokyo Price Index) has marked new peaks in the past two weeks, seeing its highest level since July 1990 on Monday.
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