Asian markets ended mostly in red on Thursday, with the benchmark index heading its sixth day of decline, as investors weighed Chinese inflation data. China’s consumer inflation cooled more than expected in August, further evidence that the economy is losing momentum, but economists are divided over whether Beijing will use the extra room to announce fresh stimulus measures. The consumer price index (CPI) rose 2.0 percent in August from a year earlier, missing market expectations for 2.2 percent and down from 2.3 percent in July. The producer price index fell 1.2 percent, its 30th consecutive monthly decline, as weak economic conditions continue to rob Chinese companies of pricing power. The market had expected a 1.1 percent decline after a drop of 0.9 percent in July. Malaysian Industrial Production fell to a seasonally adjusted annual rate of 0.5%, from 7.0% in the preceding month.
Confidence at big Japanese manufacturers turned positive in July-September and they expect business conditions to improve further in the following quarter, a government survey showed, suggesting a gradual economic recovery from the slump after April’s sales tax hike. The survey also showed that companies are growing more positive on business investment, boding well for the government’s goal of fostering a sustainable growth cycle led by pick up in business activity, higher wages and stronger consumer spending. The business survey index (BSI) of sentiment at large manufacturers stood at plus 12.7 in July-September, improving from minus 13.9 in the prior three months. Japan’s BSI large manufacturing conditions rose to a seasonally adjusted annual rate of 12.7, from -13.9 in the preceding quarter.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 2311.68 | -6.63 | -0.29 |
Hang Seng | 24662.64 | -42.72 | -0.17 |
Jakarta Composite | 5133.03 | -9.96 | -0.19 |
KLSE Composite | 1866.11 | -4.74 | -0.25 |
Nikkei 225 | 15909.20 | 120.42 | 0.76 |
Straits Times | 3347.28 | 8.65 | 0.26 |
KOSPI Composite | 2034.16 | -15.25 | -0.74 |
Taiwan Weighted | 9322.95 | -34.66 | -0.37 |
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