NEW YORK - US and European stock markets mostly pushed higher Wednesday as investors tracked earnings and President Donald Trump's policy plans as artificial intelligence shares rallied.
However, Hong Kong and Shanghai's indices fell after Trump warned China could be included in a list of countries to be hit with tariffs on February 1.
The latest batch of corporate earnings helped boost sentiment on Wall Street, with the S&P 500 flirting with a record high.
Netflix soared nearly 10 percent after it reported adding almost 19 million subscribers during the holiday season to finish last year with more than 300 million globally.
Shares of AI-linked companies such as Arm, Microsoft and Nvidia also advanced following a White House announcement of some $500 billion in new artificial intelligence infrastructure, while Procter & Gamble and Seagate Technology were among the equities advancing after earnings reports.
A retreat in US government bond yields after last week's spike has also reassured equities investors.
In Europe, the London and Frankfurt stock markets continued to hit record highs, helped by currency movements.
London's FTSE 100 index was supported by "a weak pound that allows investors to buy UK companies with international businesses at cheaper prices," noted Swissquote Bank senior analyst Ipek Ozkardeskaya.
The FTSE 100 ended the day a tad lower, however, while the DAX set a new record closing high.
European stocks are rising on the coattails of "America's changed economic policy, which has allowed European stocks to play catch up for now," said Kathleen Brooks, research director at XTB.
Oil prices slid further after tumbling Tuesday in reaction to Trump's announcement of a "national energy emergency" to ramp up drilling in the United States.