All the Asian markets barring Shanghai Composite and Jakarta Composite, concluded Wednesday’s trade in red. Investors awaited the Federal Reserve’s outlook on its bond purchases, with Japanese shares also pressured by a strengthened yen and some downbeat results. The Shanghai Composite Index opened higher after yesterday late evening the Political Bureau of the ruling Communist Party's Central Committee stated that China’s economy will maintain steady growth in the second half of this year. Separately, the head of the National Development and Reform Commission, China’s top economic planner, Xu Shaoshi added that China has the capability to achieve the government’s annual economic growth target of 7.5% this year. China’s economy has been stuck in a protracted slowdown, easing to 7.5% growth in the second quarter from 7.7% in the first three months. Worries are growing that the prolonged slowdown could affect the global economy.
Indonesia’s economic growth likely slowed in the second quarter as investments eased and exports remained battered by weak global commodity prices and demand. Gross domestic product expanded 5.93% in the April-June period from a year earlier, slowing from 6.02% pace in the first quarter. The Central Statistics Agency (BPS) is scheduled to release the second-quarter GDP figures later this week. Japan’s manufacturing grew at a slower pace this month, though still registered expansion. The headline index fell to 50.7 from June’s 52.3, but remained above the 50 level -- the dividing line between growth and contraction -- for the fifth straight month.
Singapore’s jobless rate edged up 2.1% in June, up from 1.9% in March and 1.8% in December, respectively, the Ministry of Manpower stated. Employment creation remained strong, increasing to 32,500 in the second quarter from 28,900 in the previous quarter. The resident unemployment rate rose to 3% in June to 2.9% in March, while the jobless rate for citizens increased to 3.1% from 2.9% in the preceding two quarters.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 1993.80 | 3.73 | 0.19 |
Hang Seng | 21883.66 | -70.30 | -0.32 |
Jakarta Composite | 4610.38 | 1.89 | 0.04 |
KLSE Composite | 1772.62 | -22.46 | -1.25 |
Nikkei 225 | 13668.32 | -201.50 | -1.45 |
Straits Times | 3221.93 | -23.52 | -0.72 |
KOSPI Composite | 1914.03 | -3.02 | -0.16 |
Taiwan Weighted | 8107.94 | -55.61 | -0.68 |
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