All the Asian markets concluded Tuesday’s trade in red amid worries that a reduction in the Federal Reserve’s bond purchases would hurt demand for emerging market assets. Several regional currencies were also weighed down amid worries of foreign investors withdrawing funds from the region. The Malaysian ringgit slid to its lowest in more than three years, while the Thai baht touched a one-year low. Chinese shares edged lower in choppy trade, with gains in industrial and railway-related sectors offset by weakness in properties and securities, while Nikkei tumbled touching 7-week low on Fed uncertainty. Besides, new lending to housing developers and homebuyers both surged in Shanghai last month on an annual basis, signaling a pickup in momentum in the Chinese property market. New housing development loans in Shanghai amounted to 4.7 billion yuan ($764 million) in July, a significant rebound of 5.6 billion yuan from a year earlier when the figure was negative, the Shanghai Head Office of the People’s Bank of China stated. The city’s housing loans rose for the sixth consecutive month in July on an annual basis due to rising market sentiment and growing individual demand.
Hong Kong’s inflation accelerated in July from June, mostly due to a low comparison base caused by the government’s one-off property relief measures last year, the Census and Statistics Department stated. The composite consumer price index rose 6.9% on year in July, picking up from June’s 4.1% rise, and was above the median forecast for a 6.2% rise. The sharp year-on-year rise was primarily due to public-housing rental waivers, which were carried out in July last year, distorting the on-year comparison with a lower base. The Hong Kong government stated in its most recent forecast in August that it expects the CPI to rise 4.3% this year, up from the 4.1% increase in 2012. Malaysia’s trade surplus fell to its lowest level in April since the 1997 Asian financial crisis, raising the prospect of its first trade deficit in 16 years. Exports slumped further in May and June, although the trade balance moved higher.
Meanwhile, two leading American business groups stated that US firms operating in ASEAN countries are skeptical that regional bloc can meet a 2015 deadline to establish a single market. Despite their skepticism, the survey showed that US companies are optimistic about overall business prospects in the region. Indonesia was named the most attractive country for new business expansion, followed by Vietnam, Thailand and Myanmar. Meanwhile the Philippines showed the biggest improvement in its business environment between 2008 and 2013, the survey added.
Asian Indices | Last Trade | Change in Points | Change in % |
Shanghai Composite | 2072.59 | -13.01 | -0.62 |
Hang Seng | 21970.29 | -493.41 | -2.20 |
Jakarta Composite | 4174.98 | -138.54 | -3.21 |
KLSE Composite | 1745.42 | -32.94 | -1.85 |
Nikkei 225 | 13396.38 | -361.75 | -2.63 |
Straits Times | 3128.75 | -44.58 | -1.40 |
KOSPI Composite | 1887.85 | -29.79 | -1.55 |
Taiwan Weighted | 7832.65 | -67.56 | -0.86 |
MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.
To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.
MoneyWorks4Me ensures this through: