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Asian markets conclude Friday’s trade mostly in red

06 Dec 2013 Evaluate

The Asian markets concluded Friday’s trade mostly in red while stability in the yen allowed Japanese stocks to move higher at the end of a bad week for the Nikkei Average. The Japanese government unveiled details of a ¥5.5 trillion ($53.9 billion) spending package to mitigate the expected drag on the economy from an upcoming sales tax increase in April, bundling steps to encourage corporate investment and employment, as well as handouts for low-income households. Prime Minister Shinzo Abe had instructed his government to compile the package in October when he decided to raise the 5% sales tax to 8% in April. The measures will have an ¥18.6 trillion economic impact and should lift gross domestic product by 1% point.

Indonesia may see less foreign capital inflows next year, which could affect its ability to fill the gap in its external balance, as the US Federal Reserve likely begins curbing its stimulus spending. Deputy Finance Minister Bambang Brodjonegoro stated that the Fed’s reduction of purchases of US bonds could destabilize financial markets in emerging nations, including Indonesia’s. Philippines CPI rose to a seasonally adjusted annual rate of 0.4%, from 0.1% in the preceding quarter while Taiwanese CPI rose to a seasonally adjusted annual rate of 0.67%, from 0.64% in the preceding quarter.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2237.11

-9.96

-0.44

Hang Seng

23743.10

30.53

0.13

Jakarta Composite

4180.79

-36.11

-0.86

KLSE Composite

1826.95

2.09

0.11

Nikkei 225

15299.86

122.37

0.81

Straits Times

3114.17

-10.21

-0.33

KOSPI Composite

1980.41

-4.36

-0.22

Taiwan Weighted

8367.72

-7.82

-0.09

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