Bangkok, Oct 2 (AP/UNB) — Global stocks fell on Wednesday and Wall Street was expected to slide on the open after a discouraging report on U.S. manufacturing dampened the economic outlook.

Tuesday's report showed that manufacturing weakened in September for the second straight month as U.S. President Donald Trump's trade war with China dragged on confidence and factory activity.

It dashed economists' belief that August's contraction was an aberration, and stocks and bond yields immediately reversed course to drop sharply lower.

Wall Street looked set to extend losses Wednesday, with the future contract for the S&P 500 down 0.6% to 2,921. The Dow future was also down 0.6% at 26,363.

In Europe, Germany's DAX declined 1.4% to 12,088 after a group of leading think tanks joined the German government and others in cutting its economic forecast for Europe's largest economy.  The CAC 40 in Paris shed 1.7% to 5,503.

Britain's FTSE 100 sank 2% to 7,212 after Prime Minister Boris Johnson said there would be "grave consequences for trust in our democracy" if Brexit is delayed beyond Oct. 31.

Johnson said his final proposal Wednesday is a "fair and reasonable compromise," but it is likely to face deep skepticism from EU leaders, who doubt the U.K. has a workable plan to avoid checks on goods or people crossing the border between EU member Ireland and the U.K.'s Northern Ireland after Brexit.

In Asia, Japan's Nikkei 225 index shed 0.5% to 21,778.61 while the Hang Seng in Hong Kong lost 0.2% to 26,042.69. Sydney's S&P ASX 200 gave up 1.5% to 6,639.90.

Markets in mainland China were closed for National Day holidays. They reopen on Oct. 8. India's markets area also closed.

The Kospi in South Korea sank 2% to 2,031.91 after North Korea fired a ballistic missile toward the sea, according to South Korea's military. The display of Pyongyang's expanding military capabilities came just hours after it said it would resume nuclear diplomacy with the United States this weekend.

Manufacturing is a relatively small part of the U.S. economy, but investors fear the doldrums might spill into other areas. That puts an even bigger spotlight on a jobs report due out Friday, which economists expect to show an acceleration in hiring.

"Granted, manufacturing equates to a mere 11% of U.S. GDP, but the market ... is incredibly sensitive to the outcome," said Chris Weston of brokage Pepperstone.

The protracted trade war with China is hammering export manufacturing. It also raises uncertainties over the future rules of international trade, causing CEOs to curb spending.

ENERGY: Benchmark crude oil rebounded, gaining 22 cents to $53.84 per barrel in electronic trading on the New York Mercantile Exchange. It fell 45 cents to $53.62 a barrel on Tuesday. Brent crude oil, the international standard, was flat at $58.89 per barrel.

CURRENCIES: The dollar slipped to 107.52 Japanese yen from 107.73 yen on Tuesday. The euro dropped to $1.0930.

Beijing, Dec 28 (AP/UNB) — Most Asian stock markets gained while Japan edged down following Wall Street's rally at the end of a turbulent week.

Keeping Score: The Shanghai Composite Index rose 0.5 percent to 2,495.16 points while Tokyo's Nikkei 225 lost 0.6 percent to 19,964.54. Hong Kong's Hang Seng advanced 0.2 percent to 25,531.63 and Seoul's Kospi added 0.6 percent to 2,040.76. Sydney's S&P-ASX 200 gained 0.7 percent to 5,634.30 and benchmarks in New Zealand, Taiwan and Southeast Asia also rose.

Wall Street: U.S. stocks staged a last-minute turnaround that put the market on track to end the volatile week with a gain. That followed the market's best day in 10 years. Health care and technology companies, banks and industrial stocks accounted for much of the gains. The Standard & Poor's 500 rose 0.9 percent to 2,488.83 after being down 2.8 percent at midday. The Dow Jones Industrial Average gained 1.1 percent to 23,138.82. The Nasdaq composite added 0.4 percent to 6,579.49. The downturn that began in October has intensified this month, erasing all of the market's 2018 gains and nudging the S&P 500 closer to its worst year since 2008. Stocks are on track for their worst December since 1931.

Analyst's Quote: Improved U.S. sentiment "provided Asia markets with the intraday relief into the end of the week," said Jingyi Pan of IG in a report. Still, Pan said, "one would likely flinch to call this a bottom yet," leaving a "mixed picture as we head into the end of the year."

China Profit Decline: Profits at major Chinese industrial companies fell in November for the first time in three years amid an economic slowdown and trade tension with Washington. Government data showed profit for companies in steel, construction materials, oil, chemicals and equipment manufacturing declined 1.8 percent from a year earlier, a reverse from October's 3.6 percent gain.

Energy: Benchmark U.S. crude jumped $1.02 to $45.63 per barrel in electronic trading on the New York Mercantile Exchange. The contract plunged $1.59 on Thursday to close at $44.61. Brent crude, used to price international oils, gained $1 to $53.73 per barrel in London. It fell $1.97 the previous session to $52.73.

Currency: The dollar declined to 110.58 yen from Thursday's 111.01 yen. The euro advanced to $1.1456 from $1.1430.

Singapore, Dec 26 (AP/UNB) — Asian markets were mostly lower on Wednesday after President Donald Trump said that there was "nothing new" in efforts to end the partial government shutdown over a U.S.-Mexico border wall.

Traders had no fresh leads from Wall Street, which was closed on Christmas. U.S. stocks are headed for their worst December since the Great Depression in 1931.

KEEPING SCORE: South Korea's Kospi gave up 1.6 percent to 2,022.36 and the Shanghai Composite index shed 0.1 percent to 2,503.05. Japan's Nikkei 225 index, which plunged 5 percent on Tuesday, picked up 0.5 percent to 19,241.87. Shares rose in Taiwan but fell in Singapore, Indonesia and the Philippines. Markets in Hong Kong and Australia were closed.

U.S. SHUTDOWN: The partial shutdown of the U.S. government that started Saturday shows no signs of abating. "Nothing new. Nothing new on the shutdown. Nothing new. Except we need border security," Trump told reporters. The White House said Trump will reject any deal that does not include any funding for a wall or a fence. The Democrats have opposed this and are offering $1.3 billion for security. The routines of 800,000 federal employees are expected to be disrupted by the shutdown, but essential services will keep running.

FED CRITICISM: Trump's criticism of the U.S. central bank triggered a drop in Asian equities on Tuesday. "The only problem our economy has is the Fed," the president said on Twitter. "They don't have a feel for the Market, they don't understand necessary Trade Wars or Strong Dollars or even Democrat Shutdowns over Borders." Trump has since said the hikes were a "form of safety" for an economy that was doing well, while stressing that the Fed was raising interest rates too quickly.

ANALYST'S TAKE: "The outsized moves are not reflective of the current U.S. economic landscape, but that seems to matter little so far as fear mongering continues to permeate every pocket of global capital markets," Stephen Innes of OANDA said in a market commentary.

ENERGY: Benchmark U.S. crude added 15 cents to $42.68 a barrel in electronic trading on the New York Mercantile Exchange. The contract settled at $42.53 a barrel in New York on Monday. Brent crude, used to price international oils, dropped 19 cents to $50.28 a barrel.

CURRENCIES: The dollar strengthened to 110.45 yen from 110.31 yen. The euro rose to $1.1414 from $1.1392.

Beijing, Dec 25 (AP/UNB) — Japanese stocks plunged Tuesday and other Asian markets declined following heavy Wall Street losses triggered by President Donald Trump's attack on the U.S. central bank.

The Nikkei 225 fell by an unusually wide margin of 5.1 percent to 19,147.45 points. The Shanghai Composite Index lost 2.1 percent to 2,473.75. Benchmarks in Thailand and Taiwan also declined.

Markets in Hong Kong, Australia and South Korea were closed for Christmas.

Wall Street indexes fell more than 2 percent on Monday after Trump said on Twitter the Federal Reserve was the U.S. economy's "only problem." Efforts by Treasury Secretary Steven Mnuchin to calm investor fears only seemed to make matters worse.

U.S. stocks are track for their worst December since 1931 during the Great Depression.

The market has been roiled by concerns about a slowing global economy, the trade dispute with China and another interest rate increase by the Fed.

Trump's Monday morning tweet heightened fears about the economy being destabilized by a president who wants control over the Fed. Its board members are nominated by the president, but they make decisions independently of the White House. The board's chairman, Jerome Powell, was nominated by Trump last year.

"The only problem our economy has is the Fed," the president said on Twitter. "They don't have a feel for the Market, they don't understand necessary Trade Wars or Strong Dollars or even Democrat Shutdowns over Borders. The Fed is like a powerful golfer who can't score because he has no touch — he can't putt!"

The Standard & Poor's 500 index slid 2.7 percent to 2,351.10. The benchmark index is now down 19.8 percent from its peak on Sept. 20, close to the 20 percent drop that would officially mean the end of the longest bull market for stocks in modern history — a run of nearly 10 years.

The Dow Jones Industrial Average sank 2.9 percent to 21,792.20. The Nasdaq skidded 2.2 percent to 6,192.92.

On Sunday, Mnuchin made a round of calls to the heads of the six largest U.S. banks, but the move only raised new concerns about the economy.

Most economists expect U.S. economic growth to slow in 2019, not slide into a full-blown recession. But the president has voiced his anger over the Fed's decision to raise its key short-term rate four times in 2018. That is intended to prevent the economy from overheating.

Technology stocks, health care companies and banks took some of the heaviest losses in Monday's sell-off. Wells Fargo slid 3.4 percent, Microsoft 4.2 percent and Johnson & Johnson 4.1 percent.

U.S. markets reopen Wednesday.

In energy markets, Brent crude, used to price international oils, lost 9 cents to $50.68 per barrel in London. The contract plummeted $3.33 on Monday to close at $50.77.

In currency trading, the dollar gained to 110.15 yen from Monday's 110.45 yen. The euro advanced to $1.1417 from $1.1405.

London, Dec 23 (AP/UNB) — The U.S. dispute with China over a ban on tech giant Huawei is spilling over to Europe, the company's biggest foreign market, where some countries are also starting to shun its network systems over data security concerns.

Some European governments and telecom companies are following the U.S.'s lead in questioning whether using Huawei for vital infrastructure for mobile networks could leave them exposed to snooping by the Chinese government.

Bans in Europe could significantly increase the financial pressures on Huawei. They would also cost Europe tens of billions of dollars as the region looks to build up "5G" networks, which are meant to support a vast expansion in internet-connected things, from self-driving cars to factory robots and remote surgery.

"Europe is still divided over Huawei, but the trendline is moving in a fairly clear direction" as the U.S. exerts pressure on allies to block it, said Thorsten Benner, director of the Berlin-based Global Public Policy Institute think tank.

Geopolitical tensions over Huawei intensified after its chief financial officer, who is also the daughter of founder Ren Zhengfei, was arrested Dec. 1 in Canada in connection with U.S. accusations that the company violated restrictions on sales of American technology to Iran.

Huawei has been blocked in the U.S. since 2012, when a House Intelligence Committee report found it was a security risk and recommended that the government and private companies stop buying its network equipment.

Germany's Deutsche Telekom said last week it "takes the global discussion about the security of network elements from Chinese manufacturers very seriously." The company said it uses multiple companies to build its network, including Ericsson, Nokia and Cisco.

"Nevertheless, we are currently reevaluating our procurement strategy," the company said.

The statement is significant because until recently it had been one of Huawei's "biggest cheerleaders" based on its cheap and reliable equipment, said Benner.

It came shortly after Alex Younger, the director of Britain's Secret Intelligence Service, or MI6, said in a speech that Britain needs "to decide the extent to which we are going to be comfortable with Chinese ownership of these technologies," according to local media reports.

At about the same time, mobile provider British Telecom said it was removing Huawei equipment from key parts of its current 3G and 4G networks as part of an internal policy not to use it for core infrastructure, which will also apply to 5G networks.

The British government-run center that tests the company's equipment and software this summer identified "shortcomings in Huawei's engineering processes that have exposed new risks" in U.K. networks. Huawei said it's working on fixing those issues.

Norway's telecom ministry said it was considering clarifying requirements from network operators, without being more specific.

Belgium's cybersecurity agency is reportedly considering a ban on Huawei. And the Czech Republic's prime minister ordered his government office on Tuesday to stop using Huawei mobile phones, after the national cybersecurity agency warned that products by Huawei and another Chinese telecom company, ZTE, pose "a security threat."

The European Union's head of technology policies, Andrus Ansip, said "we have to be worried" about possible security risks from Huawei when asked about the company's role in European 5G and driverless car projects.

Huawei, founded in 1987 by a former military engineer, denies accusations it's controlled by China's ruling Communist Party or designs equipment to facilitate eavesdropping. It said it recognizes and shares security concerns around the rollout of new 5G networks and is happy to take part in Deutsche Telekom's review.

The company noted German officials have said publicly there's no reason to exclude Huawei and it has never been involved in any confirmed cybersecurity breaches.

"Cybersecurity is incredibly important to Huawei. It is central to every decision and product we make," said Vincent Pang, the company's president for Western Europe. "We think the answer lies in global cooperation and collaboration to ensure that networks are as secure as possible."

The Europe, Middle East and Africa market is Huawei's second biggest after China, accounting for 27 percent of its nearly $90 billion revenue last year. Executives said the company has now signed contracts with 25 telecom carriers for commercial or test use of 5G and shipped more than 10,000 5G base stations.

The rollout of 5G networks is expected to take a decade. As technologies advance, the amount of data flowing between machines is set to surge, prompting governments to increasingly view telecom networks as strategic national assets.

Not everyone is endorsing quick action to ban Huawei.

The CEO of the French telecom company Orange, Stephane Richard, said last week his company wouldn't use Huawei gear for sensitive parts of its network because of "messages of prudence" from French authorities. But he said that was not for any technical reason, and that the debate on Huawei had become politicized.

"We're in the realm of fantasy: 'They're Chinese. They have links to the Chinese army, thus there are spies, thus we can't let them touch our telecom equipment'," he said.

Excluding Huawei won't be easy, analysts said.

"It's not like there's some cheaper alternative," said Paul Triolo, head of geotechnology practice at the Eurasia Group. "Ericsson and Nokia don't produce the whole spectrum" of equipment, referring to the Scandinavian companies that are the only non-Chinese competitors.

Huawei has thrived in major European markets like Germany and Britain because their telecom industries wanted to ensure there were multiple equipment suppliers to avoid relying on one.

"So if you're asking them to remove a major vendor from their markets, it's going to be difficult," Triolo said.

German companies won't be happy if they can't use Huawei because their costs will go up and it will delay rolling out 5G networks, which will initially rely on existing 4G infrastructure for which Huawei is already a major supplier, said Benner.

But German decisions are also likely to influence those by smaller countries that are part of the German industrial manufacturing supply chain, such as Poland, Hungary, the Czech Republic and Slovakia.

"They'll all wake up if Germany takes a decision and worries about the security of its infrastructure," said Benner.