INGOT Brokers AU | Asian market report (2017-09-22)

Asian market report (2017-09-22)

Most of the Asian markets ended Friday’s session in red territories, with the exception of the Australian market after Pyongyang said that it's considering to test a nuclear weapon in the Pacific.

The geopolitical tension in the Korean peninsula remained under the spotlight as President Trump’s administration has put more pressure on North Korea.

President Trump signed on Thursday a new measure that allows the Treasury Department's authority to target people and institutions conducting business with the North.

The North Korean leader Kim Jong Un threatened the U.S President saying that he would pay dearly for his speech at the united nations earlier this week.

In the latest speech by the U.S  President Trump in Tuesday at the U.N he called the North Korean leader Kim Jong Un a "Rocket Man" on a "suicide mission" and said that the U.S. would have to "totally destroy" North Korea.

The latest news regarding the North Korean threats to test a new nuclear device at the Pacific has lead safe haven assets higher as investors tend to invest in the gold and the Japanese yen in times of crises.

Elsewhere, in the greater China, markets ended Thursday’s session in negative territories. Hong Kong’s leading index Hang Seng fell by 0.89 percent to trade at 27,859.00, while the Shanghai composite and Shenzhen composite lost 0.16 percent and 0.26 respectively to settle at 3,352.53 and 11,069.82.

The Chinese markets  fell under pressure from the S&P downgrading China's sovereign credit rating from AA- to A+  thus  placing it in line with Moody's and Fitch.

In corporate news, HTC shares had been suspended from trade on Thursday, prior to the Google’s announcement that a $1.1 billion agreement with the Taiwanese company HTC was singed. HTC stock surged 9.96 percent after resuming trade on Friday.




Japan Stock Market (Nikkei 225)

Japan’s leading index Nikkei 225 fell by 0.25 percent the index fell under pressure from the North Korean official stating that Pyongyang could test a nuclear weapon in the Pacific Ocean.

Regarding corporate news, in Friday a court in Japan ordered Tokyo Electric Power to pay compensation to a group of former Fukushima residents a total of $3.36 million.

Regarding Central Bank news, the bank of Japan stated it would keep its monetary policy unchanged.

Australian Stock Market (ASX 200)

The Australian stock market ended Friday’s session in green territory. ASX 200 rose by 0.47 percent to trade at 5,682.14 led by the gains in the Consumer Discretionary and financials sectors.

On the specific stock news, Seven West Media and regional broadcaster Prime Media Group have ended talks over merging their assets into a single media firm as they were unable to come to an agreement. Shares of Prime Media shares plummeted  by an almost 12 percent.

Fairfax Media announced that its year-to-date profits are down 4 to 5 percent from last year, just before the release of its plan to spinoff profitable real estate listings business Domain.

In the banking sector, ANZ Banking gained 0.6 percent and the Commonwealth Bank of Australia rose by 0.72 percent.

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