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Spiraling euro crisis drags Asian markets lower

18 Nov 2011 Evaluate

Sentiment continued to remain bearish in Asian region as all the Asian peers witnessed steep fall in today’s session, pulled down by fresh concerns about Europe’s ongoing debt woes following a weak Spanish bond auction. Spain’s borrowing costs at a sale of 10-year debt soared to their highest in the euro's history on Thursday, pulling it back into the vortex of a crisis that is increasingly threatening Europe’s second biggest economy France. The new 10-year Spanish bond was yielding 6.85 percent, with traders expecting more upward pressure before the country’s elections on November 20, 2011.

Meanwhile, Chinese Shanghai Composite snapped the session with a cut of about two percent on Friday, the lowest level since late October, dragged down by property shares while, Hong Kong shares fell over one and a half percent on weakness in Chinese oil and financial giants, slumping to their third-straight weekly loss, but losses were capped with benchmark indices holding above technical supports. Moreover, Taiwan’s benchmark remained the top loser among the Asian peers, down by 2.08 percent to close below 7,300 points as fears over the debt problems in the euro-zone escalated.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2,416.56

-46.48

-1.89

Hang Seng

18,491.23

-326.24

-1.73

Jakarta Composite

3,754.50

-37.75

-1.00

KLSE Composite

1,454.40

-11.07

-0.76

Nikkei 225

8,374.91

-104.72

-1.23

Straits Times

2,730.34

-47.91

-1.72

Seoul Composite

1,839.17

-37.50

-2.00

Taiwan Weighted

7,233.78

-154.03

-2.08

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