Asian markets follow global markets lower

(RTTNews) – Asian stock markets are trading mostly lower on Thursday, following broadly negative signals from global markets overnight, as concerns over slowing growth and soaring inflation continue to mount. weigh on market sentiment. The US Fed minutes also reaffirmed the central bank’s plans to continue raising interest rates in a bid to bring inflation back to its 2% target. Asian markets closed mostly higher on Wednesday.

Additionally, the Fed minutes showed that some participants also expressed concerns that the Fed might tighten its policy stance more than necessary to restore price stability.

The Australian stock market is slightly lower on Thursday, giving up some of the gains of the previous three sessions, with the benchmark S&P/ASX 200 index falling slightly below the 7,100 level, following broadly negative signals from global markets today. overnight, with losses led by gold mining companies and technology stocks.

The benchmark S&P/ASX 200 lost 21.20 points or 0.30% to 7,106.50, after hitting a low of 7,081.00 earlier. The broader All Ordinaries index is down 29.60 points or 0.40% at 7,351.50. Australian shares ended slightly higher on Wednesday.

Among the major miners, Mineral Resources and Fortescue Metals lost almost 2% each, while Rio Tinto fell 0.4%. BHP Group and OZ Minerals are stable.

Oil inventories are mixed. Santos and Woodside Energy each gained more than 1%, while Beach Energy fell 0.3%. Origin Energy plunges more than 7% after reporting a $1.4 billion full-year 2022 loss, hit by a huge impairment charge.

In technology, Afterpay owner Block is down almost 6%, WiseTech Global is down 0.4%, Xero is down over 5% and Appen is down over 1%. Zip gains nearly 2 percent.

Among the big four banks, National Australia Bank and Westpac are down 0.2-0.5% each, while ANZ Banking is down more than 1%. Commonwealth Bank rose 0.3%.

Among gold miners, Evolution Mining, Gold Road Resources and Newcrest Mining are down more than 3% each, while Northern Star Resources is down more than 4% and Resolute Mining is down nearly 2%.

Furthermore, the shares of IPH Ltd. climbed nearly 16% after agreeing to buy Canadian intellectual property firm Smart & Biggar for $387 million.

In economic news, Australia’s economy shed 40,900 jobs in July, the Australian Bureau of Statistics said on Thursday – well below forecasts that called for 25,000 jobs to be added after June’s gain of 88,400. The unemployment rate fell further to 3.4%, beating expectations of 3.5% – which would have remained unchanged from the previous month. About 86,900 full-time jobs were lost and 46,000 part-time jobs were added last month. Turnout fell to 66.4% – defying forecasts of 66.8%, which would have been unchanged.

In the currency market, the Australian dollar is trading at $0.694 on Thursday.

The Japanese stock market is significantly lower on Thursday, giving up gains from the previous session, with the Nikkei 225 falling below the 29,000 mark, following broadly negative signals from global markets overnight, with weakness across most sectors. , especially tech stocks, which trail their peers on the tech-heavy Nasdaq.

The benchmark Nikkei 225 closed the morning session at 28,984.56, down 238.21 points or 0.82%, after hitting a low of 28,846.52 earlier. Japanese stocks closed sharply higher on Wednesday.

The SoftBank group, heavyweight in the market, lost 0.4% and the operator Uniqlo Fast Retailing lost nearly 2%. Among automakers, Honda is down nearly 1% and Toyota is down 1.5%.

In technology, Screen Holdings is down nearly 2%, while Tokyo Electron and Advantest are down more than 1% each.

In the banking sector, Mitsubishi UFJ Financial and Mizuho Financial lost almost 1% each, while Sumitomo Mitsui Financial lost 0.3%.

Among the main exporters, Canon lost almost 1% and Sony lost more than 1%, while Panasonic and Mitsubishi Electric fell by almost 2% each.

Among the other big losers, Recruit Holdings lost almost 3%.

Conversely, Nippon Sheet Glass gained more than 4%.

In the currency market, the US dollar is trading in the upper range of 134 yen on Thursday.

Elsewhere in Asia, New Zealand, China, Hong Kong, South Korea and Taiwan are 0.3-0.8% lower each, while Singapore, Malaysia and Indonesia are 0.1% higher at 0.4% each.

On Wall Street, stocks staged a tentative rally in Wednesday afternoon trading but still ended the day firmly in negative territory after coming under pressure early in the session. The major averages all moved lower after the mixed performance seen on Tuesday.

Major averages have moved well away from their recovery highs heading into the close. The Dow Jones fell 171.69 points or 0.5% to 33,98.32, the Nasdaq fell 164.43 points or 1.3% to 12,938.12 and the S&P 500 slipped 31.16 points or 0.7% at 4,274.04.

The main European markets all also moved lower on the day. While the German DAX index fell 2%, the French CAC 40 index fell 1% and the British FTSE 100 index fell 0.3%.

Crude oil prices rose on Wednesday, lifted by data showing a drop in U.S. crude and gasoline inventories last week. West Texas Intermediate crude oil futures for September ended up $1.58 or 1.8% at $88.11 a barrel.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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