Investing: Asian Shares Decline as Trade Worries Renew
On Thursday, Asian stocks declined as the recent escalation in the Beijing-Washington trade war impacted the Chinese shares. Meanwhile, the global bond markets were upset on the increased borrowing by Washington and Japan‘s new tolerance for higher yields.
The Asia-Pacific shares’ broadest index for MSCI outside of Japan made a 0.8% decrease. This was dragged down by the Chinese H-shares’ 1.2% drop. The Nikkei of Japan made a 0.4% drop.
Meanwhile, the A-shares of China on the CSI 300 index fell to 1.4% to lows in three-weeks from a 5.5% high.
“If it had not been for the sideswipe on trade, markets would have been in much better shape this week. Apple’s earnings were super, helping to quell concerns about high-tech companies. The BOJ’s policy tweaks weren’t much of a tightening, and did little damage,” said Chief Global Strategist Hirokazu Kabeya at Daiwa Securities.
The global stocks’ gauge on MSCI went down to 0.45% this week. This made reverse gains from the past four weeks. This is along with the Chinese shares accounting for the majority of that.
Meanwhile, the S&P 500 made a 0.10% loss on Wednesday. The Nasdaq composite, however, gained 0.46% for the extension of its recovery from the three-week low on Monday.
Amid the 1.3% decline of industrial stocks on trade concerns, Apple’s strong earnings boosted the technology shares. Further, the world’s largest company by market capitalization increased to 5.9% which consequently increased the company’s value to a near $1 trillion.
Elsewhere, the Federal Reserve maintained the interest rates unchanged on Wednesday. This characterized the US economy as strong and stayed on track to lift September’s borrowing costs and possibly on December again.
Investing: Taiwan stocks further drop at trade close
On Thursday, Taiwan stocks further dropped after a trade close. This followed after the losses in the Electronic Parts/Components and Textile sectors directed the shares lower. The Taiwan Weighted made a 1.52% drop.
Taiwan Weighted’s best performers of the session were the Eastern Technologies Holding Ltd, Sumagh High Tech Corp, and Sunjuice Holdings Co Ltd. The Eastern Technologies Holding Ltd made a 10.00% increase to 23.10 at the trade close. Meanwhile, Sumagh High Tech Corp gained a 9.80% increase to have a 21.85. Lastly, Sunjuice went up at 6,89% to trade at 21.85 at a close to 178.50.
Meanwhile, the worst performers were the Yageo Corp with a 9.94% decline to trade close at 716 while the Walsin Technology made a 9.93% drop to end at 308.50. Further, the Holy Stones Enterprises Co Ltd made an 8.54% drop to trade as 187.50.
Get the latest economy news, trading news, and Forex news on Finance Brokerage. Check out our comprehensive trading education and list of best Forex brokers list here. Subscribe now and receive FREE updates on the market today!