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Asia-Pacific Markets Down As Coronavirus Fears Surge Again; USdolar Up
October 16, 2020 - October 31, 2020
Stocks in Asia and the Pacific were submitted mostly on Friday afternoon, with sentiment dampened on the front of the coronavirus. Meanwhile, the US dollar strengthened and uncertainty rose with investors flocking to the safe haven currency. mainland stocks were mixed in the afternoon, with the composite material to 0.27% Shanghai, while the Shenzhen component was 0.56% lower.
In Hong Kong, the Hang Seng Index rose 1.18%. But markets were mostly in other regional markets. Japan Nikkei 225 fell 0.29% and 0.67% Topix dropped. In Korea South, Kospi traded lower 0.83%. In Australia, the S & P / ASX 200 closed 6176.80 0.54%.
Shares of Australian telecommunications company broadband had their debut on the ASX, and rose up to Australian $ 2.22 per share – double the issue price of 1 Australian dollar per share. The shares closed at 1.91 Australian dollars. Rio Tinto, the largest iron ore miner in the world, posted a 5% drop in shipments from the third quarter and warned that the recovery rate could slow further in most economies.
“Recent high-frequency data suggests that the recovery rate of growth is slowing in most economies, dissipation demand pentup, and the emergence of renewed closures recovery menacing” he wrote in operations in the third quarter revision released on Friday morning. Its shares listed on ASX fell 0.85% to the closing.
Elsewhere in earnings front, the chipmaker Taiwan Semiconductor Manufacturing (TSMC) on Thursday reported an increase of 35.9% in quarterly net profit, with demand driven products that require high-end chips, and in front of new sales of Apple’s iPhone.
coronavirus fears rise again
In the US, stocks fell for a third day on Thursday as hopes of a US stimulus fades coronavirus cast, while infections in Europe increased.
The Dow Jones Industrial Average closed 19.8 points lower, or 0.07%, to 28,494.20. Earlier in the day, however, the average of 30 stocks fell more than 300 points. The S & P 500 0.2% 3483.34 and slid back to the Nasdaq Composite 0.5% to 11713.87.
“The markets fear a slowdown in activity as new cases of virus increase. Europe has reported its highest weekly number of new cases. More than half of European countries are marked in red, which means travel restrictions are in place and are being introduced more closures, “said Adelaida Timbrell, an economist at ANZ Research, in a note Friday.
Meanwhile, sentiment was affected even more in front of employment in the US Labor Department said Thursday The taxpayers were 898,000 first-time unemployment benefits in the previous, superior week to an estimated 830,000 Dow Jones.
Amid negative sentiment, the US dollar strengthened sharply against other major currencies.
The US dollar index, which tracks the greenback against a basket of his companions, was 93,795, from levels above 93.4 the previous day.
“The dollar is stronger in general terms, with the risk of mood resulting in an offer of refuge in the dollar,” wrote Rodrigo Catril, currency strategist at National Australia Bank.
The Japanese yen traded at 105.26 per dollar, strengthening slightly from the previous one. The Australian dollar changed hands at 0.7073, falling from above 0.71 days before.
Oil prices fell on the morning of the day during the Asian session, with international benchmark Brent crude futures down 0.88% to $ 42.78 a barrel. U.S. He futures crude also fell 0.83% to $ 40.62 a barrel.