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Asian markets trade mostly lower in early deals on Tuesday

24 May 2022 Evaluate
Most of the Asian equity benchmarks traded lower in early deals on Tuesday, as the global recession fears spurred after Beijing re-imposed restrictions due to rise in Covid cases in more Chinese cities. Still lingering supply bottle necks, ongoing geo-political tensions, soaring inflationary pressure, and caution ahead to Federal Reserve’s policy meeting minutes on Wednesday also increased risk aversion in the market. The Fed meeting minutes is seen as a gauge on cues about aggressive interest rate hike and on global economic health. Japan’s Nikkei snapped gains after two consecutive sessional gains after investors digested slower than expected manufacturing numbers. The manufacturing sector in Japan continued to rise in May, with a manufacturing PMI score of 53.2, declined from April’s 53.5, although it remains above the boom-or-bust line of 50 that separates expansion from contraction. However, the services PMI of the country picked up to 51.7 in May from 50.7 in April, while the composite PMI rose to 51.4 from 51.1.

Nikkei 225 down by 217.28 points or 0.80% to 26,784.24, Hang Seng declined by 282.69 points or 1.38% to 20,187.37, Taiwan Weighted narrowed by 126.84 points or 0.79% to 16,029.57, KOSPI curtailed by 28.29 points or 1.07% to 2,619.09, Shanghai Composite diminished by 34.49 points or 1.10% to 3,112.37 and FTSE Bursa Malaysia KLCI lower by 1.16 points or 0.08% to 1,541.37.

Bucking the trend, Straight times lifted by 4.43 points or 0.14% to 3,218.08, and Jakarta Composite increased by 74.19 points or 1.08% to 6,914.97,

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