All the Asian markets barring Straits Times concluded Wednesday’s trade in red. Japan’s Nikkei average tumbled 4%, suffering the biggest one-day percentage loss since mid-June as the dollar fell to a six-week low to the yen, while heavyweights were sold off ahead of Friday’s options settlement. The higher yen hit exporters, which have benefitted from a weaker currency. The Bank of Japan on Thursday will announce the outcome of its two-day policy review, and is widely expected to press on with its massive asset-buying program. China too had a choppy trade, led by property companies, while Hong Kong stocks slipped on concerns over China’s slowing economy ahead of Chinese trade data for July. On Friday, China will release consumer and producer price data. The Chinese property sector extended recent gains after official media stated that government may gradually lift restrictions on property developers raising capital in the market. The restrictions were set three years ago to cool home prices.
South Korean shares fell near to two and half week low as regional markets dropped on US stimulus uncertainty. South Korea’s broadest gauge of money supply growth eased in June to its slowest pace since mid-2011 as companies hoarded cash to cushion themselves from uncertain global conditions. The L-money supply measure, which includes all cash, all types of deposits at financial institutions and all money market instruments issued, grew 6.8% in June compared to a year ago, compared to a 7.3% growth in May. Separate data from the Bank of Korea showed bank lending to households inched up by 0.1 trillion won ($89.7 million) in July, compared to a 4.8 trillion won rise in borrowing through June.
Indonesia's Jakarta Composite is closed for a week till August 9 on account of Public Holiday ‘Id-ul-Fitr’.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 2046.78 | -13.72 | -0.67 |
Hang Seng | 21588.84 | -334.86 | -1.53 |
Jakarta Composite | - | - | - |
KLSE Composite | 1779.32 | -5.32 | -0.30 |
Nikkei 225 | 13824.94 | -576.12 | -4.00 |
Straits Times | 3229.91 | 5.02 | 0.16 |
KOSPI Composite | 1878.33 | -28.29 | -1.48 |
Taiwan Weighted | 7921.29 | -117.62 | -1.46 |
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