Asian markets blended into the delta’s various colors.

0
119


File photo.

HONG KONG (Reuters) – Asian markets traded lower on Tuesday morning as investors took advantage of record gains on Wall Street amid fears that a recurrence of the Delta Corona virus could put a brake on the global economic recovery.

Major U.S. indices resumed a slow start overnight as bargain hunters increased purchases – extending a record fifth day of record highs, ending both the Dow and the S&P 500 consistently positive.

Pleased with these gains on Wall Street, Tokyo opened 0.5% higher.

But Mizuho Securities warned that the market would be “reduced by the growing number of virus cases and geopolitical risks that are pushing the yen further.”

Chinese markets have been dragged down by Beijing’s regulatory crackdown on private business, leaving investors on the sidelines, with fluctuations in the Hong Kong morning session and the Shanghai flat.

This week, Chinese data also weighed on global recovery prospects, with a slowdown in retail sales and industrial production in July, with new local virus lockdowns and extensive travel restrictions threatening a rapid recovery.

Raymond Yong, chief economist for Greater China at ANZ Banking Group, said the figures show that the economy is losing steam fast.

He added that the growing number of infections associated with the delta version of the corona virus “also puts August activities at extra risk.”

Markets in Seoul were down, as were Taipei and Australia, where millions of people live under coronavirus restrictions, while delta cases are on the rise.

The virus has also affected oil prices, which fell slightly to about 1.5 percent on Monday due to weak economic data from Beijing.

“As the data begins to reflect the full impact of the shutdown in China, investors are worried that we will not see this negative trend as just a local problem,” Bart Melek of TD Securities told Bloomberg TV.

“We are moving towards a potential surplus from expectations of a strong deficit as variables keep the demand rate from growing.”

But some reasons for hope may come later in the day, as investors take a closer look at US retail sales data to show that the country’s consumer spending is healthy.

Key personalities around 0230 GMT

Tokyo-Nikkei 225: UP 0.1% at 27,536.56.

Hong Kong – Hang Seng Index: down 0.2 percent at 26,119.73.

Shanghai – Composite: down 0.1% to 3512.88 cents.

EUR / USD: 1.1773 below $ 1.1781.

Pound / Dollar: Down from 1.3830 to 1.3839.

Euro / Pound: UP at 85.10p to 85.13p.

Dollar / Yen: UP 109.27 Yen to 109.23 Yen.

West Texas Intermediate: UP 67.43 per barrel

Brent North Sea Crude: UP 69.63 per barrel

New York – Dow: UP 0.3% at 35,625.40 (closed)

London – FTSE 100: down 0.9% at 7,153.98 (closed)



Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here