The Asian equity markets ended mostly in red on Tuesday, after Chinese trade data signaled weakening global and domestic demand, the latest evidence that the world’s second largest economy is stalling. Japanese Finance Minister Taro Aso stated that the economy is clearly in recovery as corporate profits are at a record high and wages are rising. Aso hopes private-sector companies understand the need to invest their large cash reserves by raising capital expenditure or workers’ salaries. Japanese Household Confidence rose to a seasonally adjusted annual rate of 40.6, from 41.7 in the preceding month. China may cut its GDP growth target to 6.5 percent from the present seven percent in its next five-year plan in view of the continued slowdown of the world’s second largest economy. Chinese imports slumped by nearly 18 percent year-on-year in September, in the latest poor figures from the world’s second-largest economy. The country has also been hit by falling demand in some key markets for its manufactured goods, and September exports slipped by 1.1 percent to 1.30 trillion yuan. The trade surplus for the month nearly doubled to 376.2 billion yuan.
Asian Indices Last Trade Change in Points Change in % Shanghai Composite 3,293.23 5.57 0.17 Hang Seng 22,600.46 -130.47 -0.57 Jakarta Composite 4,483.08 -147.63 -3.19 KLSE Composite 1,711.14 1.28 0.07 Nikkei 225 18,234.74 -203.93 -1.11 Straits Times 2,984.88 -47.23 -1.56 KOSPI Composite 2,019.05 -2.58 -0.13 Taiwan Weighted 8,567.92 -5.80 -0.07