INGOT Brokers AU | Asian market report (2017-09-27)

Asian market report (2017-09-27)

Asian markets ended Wednesday's session in red notes, with the exception of the Chinese stock market as investors digested the federal reserve chair Janet Yellen's speech, while concerns regarding the tension in the Korean peninsula eased.

The federal reserve chair Janet Yellen said in her speech on Tuesday that the central bank had to had to raise interest rates gradually to face "significant uncertainties."

However. Yellen acknowledged that the Fed might have misjudged the strength in the labor market and inflation suggesting that the central bank may or may not remove accommodation policy.

Furthermore, according to the CME Group's FedWatch tool, expectation stood at 77.9 percent for at least one more rate hike before the ending of the year, up from 72 percent a week ago.

Regarding news related to North Korea, the U.S treasury department put sanction on the North Korean banks and persons to pressure the funding of the North's weapons program.

Moreover, Trump said on Tuesday that the U.S. is "totally prepared" to use the military option against the hermit state of Korea, although that was not its preferred choice, according to Reuters.

Meanwhile, in the greater China, markets ended Wednesday's session in green territories. Hong Kong’s leading index Hang Seng rose by 0.47 percent to trade at 27,642.43, while the Shanghai composite and Shenzhen composite gained 0.05 percent and 0.79 respectively to settle at 3,345.27 and 11,036.78.

Regarding specific stock news, Alibaba’s subsidiary company Ant Financial will form a joint venture with Hong Kong's CK Hutchison to manage its payments services in Hong Kong. The deal is likely to be complete by the end of the year. CK Hutchison Holdings gained 0.3 percent following the news.

Wanda Hotel Development stock surged 10.39 percent after the company said it was acquiring Wanda Hotel Management from Dalian Wanda Properties.



Japan Stock Market (Nikkei 225)

Japan’s leading index Nikkei 225 fell by 0.31 percent to trade at 20,267.05. The index fell on Wednesday despite the weakening of the yen.

Regarding best-performing stocks, Tokai Carbon rose by more than 6 percent, Nisshin Steel advanced by 2 percent and Ricoh Co. was higher by almost 3 percent.

In terms of economic news, The minutes indicated policymakers were positive about consumer prices, with some stating that a 2 percent inflation target was a global standard.


Australian Stock Market (ASX 200)

The Australian stock market ended Wednesday’s session in red territory. ASX 200 fell by 0.12 percent to trade at 5,664.28. As losses in the Telecoms Services and IT sectors led shares lower.

APA Group chairman Leonard Bleasel will resign from his position next month and will be replaced by Michael Fraser the former AGL Energy managing director. Shares of the gas infrastructure company are higher by less than 1 percent.

In the banking sector, ANZ Banking lost 0.17 percent while the Commonwealth Bank of Australia lost 0.33 percent.

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