INGOT Brokers AU | Asian market report (2017-08-18)

Asian market report (2017-08-18)

Equities in Asia fell Friday, as recent political turmoil in the United States weighed on stocks, with investors in wall street concerned about President Trump's ability to follow through with the infrastructure spending and tax cut plan. Also weighing down equities is the recent update regarding the geopolitical tension in the Korean peninsula after China asked the U.S to halt its military exercise in the region until a meeting is arranged with North Korea to discuss the country’s nuclear program, a request the United States have refused.   

The Republican president Donald Trump has been the center of controversy after his response to the violence in Charlottesville over the weekend, which has led to many of the Chief executives disapproved to his response and some even quit Donald Trump's business advisory councils, as a results the president retaliated by disbanding both his high profile business advisory councils on Wednesday.

Furthermore, Rumors surrounding National Economic Council Chairman Gary Cohn might resign jittered through the market, despite a white official dismissing the rumors. Equities have been falling ever since the president failed to denounce the Charlottesville white supremacist violence.  

 In Mainland China, Equities finished the session in negative territories with, the Shanghai Composite unchanged to settle at 3,268.72, and the Shenzhen Composite lost 0.37 percent, or 7.13 points, to settle at 1,902.25 at the close. Meanwhile, Hong Kong primary benchmark Hang Seng Index dropped by 1.08 percent, or 296.65 points to trade at 27,047.57 after hours.

Elsewhere in Japan, equities declined on Friday, as the rise in geopolitical tensions in the region heavily weighed on Japanese markets.

Japans leading benchmark Nikkei 225 tumbled by 1.18 percent on Thursday to settle at 19,470.41 at the close.

Regarding economic data in Japan, annual exports have risen by 13.4 percent beating market expectations by 0.2 percent and significantly higher to previous month exports of 3.7 percent.

Meanwhile, Digital giant Sony reported record first-quarter earnings. Profit almost tripled to 1.43 billion dollars (157.61 billion yen).

 

Elsewhere in Australia, Aussie stock ended Fridays’ session in red territory. Australian stock market index ASX 200 lost 0.56 percent to settle at 5,747.11 at the close

The Aussie stock market fell on Friday despite the rise in commodity price amid increasing global political uncertainty. However, equities were pressured by losses in the Chinese market and U.S market with Industrial, Basic materials, and Financial sectors pulling share price to the downside.

 

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