Asian stocks slide after Wall Street selloff
#1
Australian, Japanese ,Hong Kong , China stocks slide after Wall Street selloff



2am GMT state of the markets
Here’s how things stood globally at 2am GMT:
Tokyo Nikkei 225: DOWN 5.1% at 21,529.19
Hong Kong Hang Seng: DOWN 3.2% at 31,225.11
Shanghai Composite: DOWN 2.1% at 3,415.86
Euro/dollar DOWN at $1.2384 from $1.2373 at 2200 GMT
Pound/dollar DOWN at $1.3972 from $1.3958
Dollar/yen DOWN at 109.08 yen from 109.13 yen
Oil West Texas Intermediate: DOWN 56 cents at $63.59 per barrel
Oil Brent North Sea: DOWN 58 cents at $67.04 per barrel
New York DOW: DOWN 4.6% at 24,345.75 (close)
New York S&P 500: DOWN 4.1% at 2,648.94 (close)
London 100: DOWN 1.5% at 7,334.98 (close)

US S&P 500 futures, the world’s most liquid, tumbled 2.5% to four-month lows in Asian trade on Tuesday as the sell-off triggered by worries about inflation showed no sign of abating, Reuters reports.They fell to as low as 2,542, the weakest levels since early October, and 11.7% below their record peak of 2,878.5 touched on 29 January.

Hong Kong shares, like those of other Asian markets, started the week lower on Monday after indexes on Wall Street tumbled amid rising bond yields.

The Hang Seng Index was down 1.8% at 32,022.79 at noon after sliding below 32,000 earlier in the day. The gauge snapped a seven-week winning streak last week. Tencent Holdings, the Chinese social media and gaming company, slid 2.7%, backing further away from the all-time highs it reached last month. Sunny Optical Technology Group fell 1.2% after Apple, a leading customer, slumped 4.3% in New York on Friday as investors reacted with disappointment to company comments about its sales outlook.
Ping An Insurance Group dropped 1.9% Monday morning, trimming year-to-date gains to 9.4%. The insurer said three of its technology units, including Ping An Healthcare and Technology, or Ping An Good Doctor, raised a total of $2.2 billion in recent private share placements.

Asian losses came after all three major U.S. equity indexes shed 2% or more on Friday amid surging bond yields while investors brace for monetary tightening by global central banks. The yield on 10-year U.S. Treasury notes has been hovering near four-year highs since the Federal Reserve hinted at more rate increases in 2018 as inflation accelerates. Robust U.S. jobs data released on Friday further fueled those bets. Stock futures on Monday pointed to another weak opening on Wall Street while the Nikkei Asia300 Index slid 1.7%.

"I don't think the inflation pickup and further rate hikes in the U.S. are fundamentally bad news," said Will Leung, head of investment strategy at the wealth-management unit of Standard Chartered Hong Kong. "It is just that the Hang Seng Index's rally in January was very sharp and people are taking this as an excuse to take profit." He said the losses were "more likely a short-term correction rather than the start of a slump."

Stocks traded on mainland Chinese exchanges were more resilient, with the Shanghai Composite falling 0.2% on Monday morning and its Shenzhen counterpart losing 0.8%. The onshore traded yuan was little changed against the U.S. dollar at 6.2982. A Purchasing Manager's Index survey by Caixin and Markit showed service sector activity in China expanded further in January, with the gauge rising to 54.7 from 53.9 in December.

China Vanke fell 3.2% in Hong Kong on Monday, trimming gains for the year so far to 19.9%. The Chinese property developer reported a 41% jump, to 68 billion yuan, in contracted sales for January from a year earlier.
Shares of Next Digital slumped 7.3% as they resumed trading following a one-day halt, after the media company said an agreement to sell its namesake Next weekly magazine and other titles had been terminated because it had not received funds from the buyer.

Space Group Holdings slid 4.2% after the over-allotment option for its initial public offering lapsed on Feb. 2 with no additional shares issued. The company's shares, which debuted on Hong Kong's main board in January, are down 5.8% from the IPO price of HK$1.20.
Dynagreen Environmental Protection Group slid 4.6% after saying it expects to report a decline of about 10% in its 2017 net profit from a year earlier.



https://asia.nikkei.com/Business/AC/Hong...off?page=1





_________________________________

[Image: Chuc_MNM.gif]
Reply