Markets mixed, Hang Seng in bear market

Markets were mixed on Friday.

The S&P 500 rose 0.8 percent and the STOXX Europe 600 rose 0.3 percent.

Earlier in the day, though, Asian markets fell. The Nikkei 225 fell 1.0 percent and the Shanghai Composite fell 1.1 percent. The Hang Seng plunged 1.8 percent, leaving it in bear market territory.

China’s one-year loan prime rate (LPR) and five-year LPR were both left unchanged at 3.85 percent and 4.65 percent respectively on Friday but investors remained nervous about the country's tech sector amid regulatory uncertainty as the country passed a major data protection law on Friday.

In the US, the COVID-19 pandemic and possible Federal Reserve taper remained concerns.

“The spread of the delta variant is weighing on both consumption and productions, and pushing out growth,” Goldman Sachs’ Chris Hussey said in a note.

“With Fed tapering coming while delta variant keeps spreading, the transition away from liquidity/policy regime to more mid-cycle markets means we may experience a bumpier ride ahead,” Barclays equity strategists said in a note.