The Asian equity markets ended mostly in green on Monday, as markets welcomed China’s decision to cut borrowing costs again and remove a cap on savings rates ahead of this week’s policy meeting. On Friday the People’s Bank of China cut interest rates by 0.25 percentage points and lowered the reserve ratio requirement -- the amount of cash banks must keep in reserve. Chinese Premier Li Keqiang stated that China’s economy does not need to grow seven percent this year, after data last week showed that economy grew at the slowest pace since the financial crisis. China’s most recent GDP figures added to fears over the health of the global economy, and some expressed concern they had been manipulated to understate the gravity of the situation. Till now Chinese government has set 7 percent as the target amid the continued slowdown. Recent IMF forecast said China’s growth is expected to slow from 7.3 percent in 2014 to 6.8 percent this year and 6.3 percent in 2016 as the country struggles with its shift from export oriented economy to the one driven by consumption. Indonesia Finance Minister Bambang Brodjonegoro stated that the country’s financial system including its fiscal, monetary and financial sectors, are in quite good shape despite domestic and external challenges. Previously, the tax office reported that it collected only 53 percent of its full-year target at the end of September, or Rp 686 trillion ($49.8 billion) -- excluding excise and duties -- from the Rp 1,294 trillion target. Singaporean Industrial Production rose to an annual rate of -4.8%, from -7.1% in the preceding month whose figure was revised down from -7.0%.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 3,429.58 | 17.15 | 0.50 |
Hang Seng | 23,116.25 | -35.69 | -0.15 |
Jakarta Composite | 4,691.71 | 38.57 | 0.83 |
KLSE Composite | 1,706.79 | -4.14 | -0.24 |
Nikkei 225 | 18,947.12 | 121.82 | 0.65 |
Straits Times | 3,083.07 | 14.61 | 0.48 |
KOSPI Composite | 2,048.08 | 7.68 | 0.38 |
Taiwan Weighted | 8,745.36 | 71.55 | 0.82 |