London (AFP) - Global stock markets mostly rose Tuesday as investors geared up for the US Federal Reserve’s policy meeting outcome and earnings from tech titans, which will be pored over for signs of AI momentum.

In New York, the Dow blue-chip index ran into some profit-taking but the broader S&P index and the tech-heavy Nasdaq Composite were well bid.

European equity markets ended the day mostly higher, with Frankfurt slipping lower.

Earlier Tuesday, Asian stocks brushed off South Korea-US tariff concerns, instead focusing on “hopes of strong earnings from the US tech heavyweights in the next couple of days”, said Richard Hunter, head of markets at Interactive investor.

Tech firms are enjoying a fresh boost ahead of earnings releases as traders continue to pile into all things artificial intelligence.

Apple, Meta, Microsoft and Tesla give updates this week, with other bellwethers including Texas Instruments, Boeing and Mastercard providing an idea about the state of the US economy.

Boeing shares rose 1.8 percent after the aircraft maker reported its first annual profit since 2018.

Concerns remain meanwhile over the scale of investment in AI even as its deployment has yet to pay off significantly.

Investor attention was also on the Federal Reserve’s policy meeting starting Tuesday.

The US central bank is widely expected to hold key interest rates steady on Wednesday, but “markets will be watching keenly to see if Chair (Jerome) Powell, who’s kept a tight grip on monetary policy, is to be replaced by a Trump dove,” said Derren Nathan, head of equity research at Hargreaves Lansdown.

Data released Tuesday showed consumer confidence in the United States plunged in January to its lowest level since 2014 as American households continue to fret about inflation and elevated costs of living.

Lale Akoner, eToro market analyst, said that weaker sentiment gives the Fed more room to wait before acting, as it indicates a gradual slowdown in growth than a downturn.

“If inflation continues to cool and growth softens gradually, rate cuts later in the year or into 2027 become more likely,” she said.

Markets currently expect to Fed to cut interest rates next in June or July.

US President Donald Trump has meanwhile reverted back to tariff threats this week, warning South Korea he would impose 25 percent tolls on goods including autos for falling short of expectations on an earlier pact struck with Washington.

The dollar remained under pressure after a selloff sparked by talk of a joint intervention between US and Japanese authorities to support the yen.

Shares in German sportswear brand Puma climbed strongly in Frankfurt with Chinese athletic goods giant Anta Sports set to purchase a leading stake in the company.

But although posting a rise of 9.5 percent, Puma’s share price, at 23.71 euros, was quoted far below the 35 euros per share that Anta is paying Artemis, the holding firm of France’s Pinault family, for its 29-percent stake.

This, analysts said, reflects investor caution about the group’s chances of turning its fortunes around, after seeing its market capitalisation plunge by about a third over the past year.

- Key figures at around 1630 GMT -

New York - Dow: DOWN 0.6 percent at 49,098.78 points

New York - S&P 500: UP 0.5 percent at 6,986.17

New York - Nasdaq Composite: UP 1.0 percent at 23,839.38

London - FTSE 100: UP 0.6 percent at 10,207.80 (close)

Paris - CAC 40: UP 0.3 percent at 8,152.82 (close)

Frankfurt - DAX: DOWN 0.2 percent at 24,894.44 (close)

Tokyo - Nikkei 225: UP 0.9 percent at 53,333.54 (close)

Hong Kong - Hang Seng Index: UP 1.4 percent at 27,126.95 (close)

Shanghai - Composite: UP 0.2 percent at 4,139.90 (close)

Euro/dollar: UP at $1.1971 from $1.1883

Dollar/yen: DOWN at 153.08 yen from 153.98 yen on Monday

Pound/dollar: UP at $1.3766 from $1.3682

Euro/pound: UP at 86.98 pence from 86.85 pence

Brent North Sea Crude: UP 1.6 percent at $65.82 per barrel

West Texas Intermediate: UP 1.9 percent at $61.75 per barrel

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