Asian markets ended in red on Monday, after China’s Finance Minister Lou Jiwei damped speculation that government will boost economic stimulus. Lou Jiwei stated that the government won’t change its economic policies drastically merely because of weakness in one economic indicator. The biggest Chinese banks are set to win better ratings for their Basel III bond offerings than some overseas peers with similar credit scores amid mounting signs of government support for state-owned lenders. Moody’s Investors Service plans to grade subordinated debt from the nation’s banks one level below their standalone rating, compared with its standard grading two steps below. Japan’s All Industries Activity Index fell to a seasonally adjusted -0.2%.
Indonesian Finance Minister Muhammad Chatib Basri stated that Asia’s developing nations may have to sacrifice some growth next year and focus on keeping their economies stable amid potential fallout from higher US interest rates. Former Finance Minister Sri Mulyani Indrawati stated that Indonesia’s economy can grow more than 7% annually, provided that the next government dares to take unpopular policy steps, especially with regard to reducing the burden of fuel subsidies on the state budget.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 2289.87 | -39.59 | -1.70 |
Hang Seng | 23955.49 | -350.67 | -1.44 |
Jakarta Composite | 5219.81 | -7.78 | -0.15 |
KLSE Composite | 1846.05 | -3.44 | -0.19 |
Nikkei 225 | 16205.90 | -115.27 | -0.71 |
Straits Times | 3296.57 | -8.48 | -0.26 |
KOSPI Composite | 2039.27 | -14.55 | -0.71 |
Taiwan Weighted | 9134.65 | -105.80 | -1.14 |
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