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Southbound journey continues in Asian region for fourth day in a row

04 Jun 2012 Evaluate

Sentiments remained subdued in the Asian region for fourth consecutive day of trade and all the Asian counters snapped the day’s trade in the negative terrain on Monday on concern of slowing global economic growth, triggered by poor US employment data. On Friday that the US economy added a meager 69,000 jobs in May, the slowest rise for 12 months while, the unemployment rate rose for the first time in almost a year to 8.2 percent. The Labour Department also slashed its estimate of April job gains by 33 percent to 77,000. Moreover, deepening debt woes for the euro zone and slowing Chinese growth too weighed on the sentiments in the region.

Meanwhile, Chinese market tumbled over two and half a percent, as country’s non-manufacturing industries expanded at the slowest pace in more than a year and the purchasing managers’ index fell to 55.2 in May from 56.1 in April. In addition, Hang Seng and Nikkei crumbled 2.01 percent and 1.71 percent respectively as weak US data added to worries about Europe’s deepening debt crisis, driving investors out of riskier assets. Moreover, Taiwan Weighted crashed about three percent hit by a regional sell-off on fears of a global economic downturn, and by concerns about a planned capital gains tax plan.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2,308.55

-64.89

-2.73

Hang Seng

18,185.59

-372.75

-2.01

Jakarta Composite

3,654.58

-145.18

-3.82

KLSE Composite

1,555.18

-18.41

-1.17

Nikkei 225

8,295.63

-144.62

-1.71

Straits Times

2,698.90

-46.81

-1.70

KOSPI Composite

1,783.13

-51.38

-2.80

Taiwan Weighted

6,894.66

-211.43

-2.98

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