Asian markets closed in red on Monday, on concerns about Greece’s future in the euro zone after debt reform talks between Athens and its creditors collapsed at the weekend. The Bank of Japan remains on course to expand its monetary stimulus in October, but some marketmen have pushed back their forecasts for more easing after recent upbeat data suggested the economy was gaining speed. Japan’s output gap narrowed in January-March, according to calculations based on revised gross domestic product data, in an encouraging sign for the Bank of Japan’s inflation target. The output gap in the first quarter was minus 1.6 percent. That compares with a minus 2.4 percent gap in the fourth quarter of last year. Japanese tertiary industry activity index fell to a seasonally adjusted -0.2%, from -1.0% in the preceding month. Indonesia posted a surprisingly strong May trade surplus but also another sharp drop in imports, which could reflect weak consumer demand ahead of the Muslim fasting month of Ramadan. There was a trade surplus of $950 million, the sixth straight surplus and more than double expectations, evidence that the current account deficit should narrow in the second quarter. A large current account deficit has been one of Indonesia’s top economic problems and at times has pressured the rupiah, which is emerging Asia’s weakest currency this year.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 5,062.99 | -103.36 | -2.00 |
Hang Seng | 26,861.81 | -418.73 | -1.53 |
Jakarta Composite | 4,837.79 | -98.02 | -1.99 |
KLSE Composite | 1,722.16 | -12.21 | -0.70 |
Nikkei 225 | 20,387.79 | -19.29 | -0.09 |
Straits Times | 3,323.13 | -30.72 | -0.92 |
KOSPI Composite | 2,042.32 | -9.85 | -0.48 |
Taiwan Weighted | 9,259.48 | -42.45 | -0.46 |
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