World stocks mostly fall back despite latest earnings-driven rally on Wall Street

Most global stocks retreated Wednesday after U.S. equities hit record highs, buoyed by expectations for strong corporate earnings. In early European trading, the CAC 40 in Paris fell 0.6% to 7,818.69, while the FTSE 100 dropped 0.4% to 10,501.41. Germany’s DAX slid 0.8% to 25,237.82. Japan’s Nikkei 225 declined 0.9% to 70,035.71, and South Korea’s Kospi fell 2% to 6,803.90. Hong Kong’s Hang Seng lost 0.5% to 24,160.25 and Taiwan’s Taiex was nearly unchanged; Shanghai markets were closed for a national holiday. The rally in the U.S. came as analysts pointed to earnings resilience across tech and AI despite high energy costs and restrictive rates, alongside expectations that S&P 500 earnings per share could grow nearly 30% year over year.