All the Asian equity benchmarks barring, Straits Times, ended higher on Monday as sentiments remained up-beat by an unexpected rate cut announcement from the Chinese central bank last Friday. The People’s Bank of China cut one-year benchmark lending rates by 40 basis points to 5.6 percent. Moreover, China’s leadership and central bank are ready to cut interest rates again and also loosen lending restrictions, concerned that falling prices could trigger a surge in debt defaults, business failures and job losses. Recovery in commodity prices and comments from the European Central Bank President Mario Draghi that more stimulus is likely from the ECB to spur eurozone economic growth are also aiding sentiment. The Japanese market remained shut for the trade today for Labour Thanksgiving Day Holiday.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 2532.88 | 46.09 | 1.85 |
Hang Seng | 23893.14 | 456.02 | 1.95 |
Jakarta Composite | 5141.76 | 29.72 | 0.58 |
KLSE Composite | 1833.77 | 24.64 | 1.36 |
Nikkei 225 | -- | -- | -- |
Straits Times | 3340.53 | -4.79 | -0.14 |
KOSPI Composite | 1978.54 | 13.70 | 0.70 |
Taiwan Weighted | 9122.33 | 30.80 | 0.34 |