US West Texas Intermediate (WTI) crude futures eased 21 cents, or 0.5% to $40.79 a barrel at 0800 GMT. Brent crude futures fell 25 cents, or 0.6% to $43.90 a barrel. It comes as global stocks rose this morning following US President Donald Trump’s U-turn on Microsoft taking over controversial social media app TikTok.
The S&P 500 closed 0.7 percent higher after Mr Trump’s decsion.
Meanwhile, Microsoft shares rose 5.6 percent, which then helped tech-focused Nasdaq soar by 1.5 percent in what the FT reported as a record high.
Japan’s benchmark Topix index rose 1.6 percent, while Australia’s S&P/ASX 200 rose 1.8 percent in early Asia-Pacific trading.
Hong Kong’s Hang Seng rose 0.7 percent and China’s CSI 300 index did not see a huge change.
The S&P 500 is expected to rise 0.1 percent when trading on Wall Street begins today.
And London’s FTSE 100 is expected to fall 0.2 percent.
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FTSE 100 LIVE: Global stocks rose on Tuesday morning
2.45pm update: FTSE down on Tuesday
The FTSE-100 index at 2:45pm was down 3.58 at 6029.27.
1.05pm update: US-China relations hit markets
An expert has commented on relations between the US and China and its impact on markets.
Mark Haefele, UBS Global Wealth Management’s chief investment officer, said: “This kind of rhetoric lines up with our view that US-China frictions may increase into the US elections, injecting volatility into related assets like China tech ADRs (American Depository Receipts) while also supporting insurance assets like gold.”
12.15pm update: European shares fall, dollar stalls
European shares fell after opening higher.
While the dollar’s rebound stalled as investors.
Chancellor Rishi Sunak
11.30am update: Hong Kong shares rebound
Hong Kong stocks snapped a three-session losing streak and ended higher on Tuesday.
It came following strong gains made in technology firms.
At the close of trade, the Hang Seng index was up 488.50 points or 2% at 24,946.63.
The Hang Seng China Enterprises index rose 1.7% to 10,203.88.
10.45am update: London stocks hit
Weak quarterly earnings reports from spirits maker Diageo and engineer Babcock pressured London-listed stocks on Tuesday.
Diageo Plc, the world’s largest spirits maker, slumped 6.5%.
The blue-chip FTSE 100 was down 0.3% after bouncing on Monday.
The mid-cap FTSE 250 edged higher as easyJet Plc jumped 9.8%, but a 12.6% slump for Babcock following a plunge in quarterly profit capped gains.
10.05am update: Some investors remain cautious
Some investors remain cautious due to worries about a resurgence of the coronavirus.
There are also fears about a diplomatic tussle over Chinese tech companies’ operations in the United States.
“It has been an upbeat US trading session and Asia will absorb the leads accordingly,” Chris Weston, head of research at Pepperstone, said in a market note.
9.15am update: FTSE makes early gains
The blue-chip FTSE 100 added 0.1%, with traders buying into energy, financial and consumer discretionary stocks.
It was based on hopes of a broader economic rebound after data on Monday from around the world pointed at a sharp jump in factory activity.
The mid-cap FTSE 250 also rose 0.4%.
It was led by a 5.6% jump for easyJet Plc as it said it planned to fly about 40% of its capacity over the rest of the summer, more than originally scheduled.
But engineer Babcock International slumped 10.8%.
8.30am update: London stocks track Asia gains
London-listed shares rose for a second straight session on Tuesday morning.
It came as investors held out for a post-coronavirus pandemic recovery on the back of improving economic data.
BP also jumped after its quarterly results.
5.59am update: Asia stocks rise as positve factory data boosts confidence
Asian shares rose on Tuesday after strong US manufacturing data and gains in tech stocks helped investors look past broader worries about the coronavirus and global economy.
Oil futures gave up their overnight gains and fell in Asia due to nagging worries about an increase in the supply of crude.
US stock futures were 0.02 percent higher in Asia.
An industry gauge released overnight indicated US manufacturing activity expanded in July at the fastest pace in more than a year, which helped Wall Street shares rise on Monday.