Stock Market News

Asian markets falter ahead of key central bank decisions

2023.09.18 01:07


© Reuters.

Investors in Asian stock markets adopted a cautious stance on Monday, as they await several significant central bank rate decisions set to take place this week. The forthcoming meeting of the U.S. Federal Reserve is particularly in focus.

Trading volumes in the region saw a slight decrease due to a public holiday in Japan. Among the affected markets, Hong Kong’s took the most significant hit, slipping 1.6% and nearing a 10-month low. This decline was primarily driven by renewed selling activity within the property sector.

China Evergrande (HK:) Group, a troubled property developer, witnessed its shares tumble almost 20% following its announcement to delay decisions on debt restructuring. Adding to investor anxieties, some employees of Evergrande’s wealth management division were detained in Shenzhen, sparking concerns about increased government scrutiny.

Other real estate firms including Country Garden Holdings, Shimao Property Holdings, and Sunac China also suffered losses ranging from 1.8% to 5%.

In mainland China, stock indexes mostly remained in a flat-to-low range. The Shanghai Shenzhen CSI 300 was unchanged while the fell slightly by 0.2%. The People’s Bank of China (PBOC) is set to make its decision on key loan prime rates this Wednesday, but market participants generally anticipate that the rates will remain at their record lows.

Despite recent attempts by the PBOC to stimulate the economy by lowering reserve requirements for local lenders, market sentiment has become increasingly restless due to Beijing’s restrained approach towards additional stimulus measures. This frustration has been further exacerbated by the absence of any outlined plans for fiscal support from China’s government.

These developments are unfolding amid ongoing signs of an economic slowdown in China. These concerns have had ripple effects on other markets as well, with Australia’s declining by 0.7%. Major Australian mining stocks also struggled due to weak commodity prices.

South Korea’s decreased by 0.6%, while most markets in Southeast Asia recorded minor gains.

Investors worldwide are now shifting their focus to the Federal Reserve’s meeting on Wednesday. Although the bank is expected to maintain current rates, it is also likely to uphold its hawkish outlook, potentially indicating a longer period of higher rates.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 76,109.39 1.14%
vested-xor
Vested XOR (VXOR) $ 3,405.08 99,999.99%
ethereum
Ethereum (ETH) $ 2,920.97 7.74%
tether
Tether (USDT) $ 1.00 0.08%
solana
Solana (SOL) $ 199.52 6.78%
bnb
BNB (BNB) $ 602.38 1.13%
usd-coin
USDC (USDC) $ 0.998954 0.12%
xrp
XRP (XRP) $ 0.556798 3.18%
dogecoin
Dogecoin (DOGE) $ 0.195227 0.34%
staked-ether
Lido Staked Ether (STETH) $ 2,918.97 7.65%
cardano
Cardano (ADA) $ 0.413594 14.06%
tron
TRON (TRX) $ 0.16031 1.06%
the-open-network
Toncoin (TON) $ 4.96 3.73%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,458.06 7.65%
shiba-inu
Shiba Inu (SHIB) $ 0.000019 1.94%
avalanche-2
Avalanche (AVAX) $ 27.83 2.45%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 76,148.40 1.28%
weth
WETH (WETH) $ 2,923.40 7.79%
chainlink
Chainlink (LINK) $ 12.77 5.50%
bitcoin-cash
Bitcoin Cash (BCH) $ 381.11 0.72%
sui
Sui (SUI) $ 2.34 2.66%
polkadot
Polkadot (DOT) $ 4.19 2.01%
leo-token
LEO Token (LEO) $ 6.25 0.34%
usds
USDS (USDS) $ 0.999169 0.37%
litecoin
Litecoin (LTC) $ 72.30 2.14%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,074.06 7.71%
uniswap
Uniswap (UNI) $ 8.91 4.71%
near
NEAR Protocol (NEAR) $ 4.30 2.66%
aptos
Aptos (APT) $ 9.90 4.00%
pepe
Pepe (PEPE) $ 0.000011 12.45%
bittensor
Bittensor (TAO) $ 514.18 2.71%
internet-computer
Internet Computer (ICP) $ 7.87 0.28%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 1.42 1.39%
dai
Dai (DAI) $ 0.999011 0.14%
stellar
Stellar (XLM) $ 0.102811 6.27%
ethereum-classic
Ethereum Classic (ETC) $ 20.28 3.63%
monero
Monero (XMR) $ 164.04 1.65%
kaspa
Kaspa (KAS) $ 0.115421 3.45%
ethena-usde
Ethena USDe (USDE) $ 0.99975 0.22%
whitebit
WhiteBIT Coin (WBT) $ 19.66 1.97%
aave
Aave (AAVE) $ 181.78 3.00%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.348588 4.82%
blockstack
Stacks (STX) $ 1.70 0.29%
crypto-com-chain
Cronos (CRO) $ 0.093342 9.37%
dogwifcoin
dogwifhat (WIF) $ 2.48 2.93%
okb
OKB (OKB) $ 40.50 2.97%
first-digital-usd
First Digital USD (FDUSD) $ 0.994308 0.63%
arbitrum
Arbitrum (ARB) $ 0.585546 6.94%
filecoin
Filecoin (FIL) $ 3.79 2.58%
mantle
Mantle (MNT) $ 0.66235 10.63%