An interest rate cut in China appears to have had a calming influence on some global markets after a six-day losing streak.

On Wednesday, Australian, US and some Asian stocks rose slightly, but turmoil continued in Europe.

At the closing bell, the three main indices in the US were up — the Dow Jones by 3.96 per cent, the S&P 500 by 3.91 per cent, and the Nasdaq by 4.24 per cent.

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Japan rose 3.2 per cent and South Korea 2.57, while the ASX ended 0.6 per cent higher.

Analysts at the Capital Economics think tank said the worst might be over.

“Looking ahead, we … suspect that investors will be less worried about China in due course, as it becomes apparent that her economy is not collapsing,” they wrote in a note to investors.

But Europe’s main stock markets fell. The United Kingdom’s FTSE 100 index shed 1.68 per cent; the CAC 40 in France dropped 1.4 per cent; and Germany’s DAX 30 fell 1.29 per cent.

Treasurer Joe Hockey warned investors not to get too comfortable.

“There will be volatility in the markets,” he said on Wednesday.

Chinese stocks have lost more than 40 per cent of their value since June. This caused a ripple effect across world markets because China represents approximately 15 per cent of global economic activity and is a top consumer of many commodities.

On Tuesday, China’s central bank responded by reducing interest rates and slashing the amount of money banks need to hold in reserve — its second such tandem move in two months — in a bid to stoke growth.

-with AAP.