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Asian markets trade lower in early deals

22 Aug 2013 Evaluate

All the Asian equity indices, barring Shanghai Composite, are trading in the red after minutes from the Federal Reserve's July policy meeting showed it was still on track to start tapering stimulus as early as next month, sending Treasury yields to two-year highs. Meanwhile, Malaysia’s benchmark KLSE Composite declined over one and half percent as the nation’s current account surplus plunged in the second quarter on weakening exports, overshadowing a slight acceleration in economic growth.

Bucking the trend, Chinese benchmark was trading slightly in the green after activity in China's vast manufacturing sector hit a four-month high in August as new orders rebounded, a preliminary private survey showed on Thursday, reinforcing signs of stabilization in the world’s second-largest economy. The Flash HSBC Purchasing Managers' Index rose to 50.1 from July's final reading of 47.7, which was the weakest in 11 months, though it barely passed the watershed 50 line which demarcates expansion of activities from contraction.

Hang Seng declined 147.85 points or 0.68% to 21,669.88, Jakarta Composite tumbled 107.56 points or 2.55% to 4,110.89, KLSE Composite crumbled 30.11 points or 1.73% to 1,714.74, Nikkei 225 shed 76.62 points or 0.57% to 13,347.71, Straits Times dropped 38.62 points or 1.24% to 3,070.37, Seoul Composite decreased 17.82 points or 0.95% to 1,849.64 and Taiwan Weighted was down by 38.37 points or 0.49% to 7,794.28.

On the flip side, Shanghai Composite was up by 1.82 points or 0.09% to 2,074.78. 

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