Asian equity indices ended mostly in red on Friday, as US President Barack Obama authorized air strikes in Iraq. China’s buoyant exports pushed its trade surplus to a record in July, fuelling optimism global demand will help counter pressure on the domestic economy from a weakening property sector. Chinese Trade Balance rose to 47.30B, from 31.60B in the preceding month. Exports in July jumped 14.5% from a year earlier - the fastest pace in 15 months, doubling from 7.2% in June and roundly beating market expectations. While manufacturing appears to have picked up in the world’s second-largest economy, unexpected weakness in the services sector this week has renewed concerns about the growth outlook. The weak housing market remains China’s biggest risk, posing a drag on the broader economy and investor confidence.
The Bank of Japan maintained record stimulus after recent production and export data highlighted weakness that could challenge Governor Haruhiko Kuroda’s push to stoke faster inflation. The central bank stuck with a pledge to increase the monetary base at an annual pace of 60 trillion yen to 70 trillion yen ($687 billion). Japan’s Economy Watchers Current Index rose to a seasonally adjusted 51.3, from 47.7 in the preceding month. Japan’s Current Account rose to a seasonally adjusted 0.13T.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 2194.43 | 6.76 | 0.31 |
Hang Seng | 24331.41 | -56.15 | -0.23 |
Jakarta Composite | 5053.76 | -13.22 | -0.26 |
KLSE Composite | 1839.87 | -27.45 | -1.47 |
Nikkei 225 | 14778.37 | -454.00 | -2.98 |
Straits Times | 3288.89 | -25.33 | -0.76 |
KOSPI Composite | 2031.10 | -23.41 | -1.14 |
Taiwan Weighted | 9085.96 | -45.48 | -0.50 |