Asian stock markets sink as traders monitor European virus incidents

The Asian stock market sank on Friday after several European countries tightened travel and business restrictions following a surge in Beijing-coronavirus infections and South Africa reported new variants.

Shanghai, Tokyo, Hong Kong and Sydney have declined. The US market was closed due to a Thursday holiday.

Austria imposed a 10-day blockade nationwide after tripled daily viral deaths, while Italy restricted activities by unvaccinated people. The US government has advised Americans to avoid Germany and Denmark. South African scientists said new varieties are spreading among young people in the most populous states.

“Investors are more likely to shoot first and ask questions later,” Oanda’s Jeffrey Halley said in a report.

The Shanghai Composite Index fell 0.5% to 3,566.18, while the Nikkei 225 in Tokyo plummeted to 28,746.20 with a significant margin of 2.6%. The Hang Seng Index in Hong Kong fell 2.1% to 24,213.55.

The KOSPI in Seoul was down 1.3% to 2,941.81, and the S & P-ASX 200 in Sydney was down 1.7% to 7,282.50.

India’s Sensex was down 1.8% to 57,752.68. Markets in New Zealand and Southeast Asia have also declined.

Wall Street’s Benchmark S & P 500 rose 0.2% on Wednesday. The US market is scheduled to reopen on Friday due to a shortened trading session.

Investors were already more cautious after predicting the possibility of responding to rising inflation by raising interest rates faster than previously planned in a memorandum of the October meeting released by the Federal Reserve this week. ..

Financial markets have been boosted by strong US corporate earnings, and there are signs that the global economy is recovering from last year’s historic decline in pandemics. Stock prices were boosted by simple credit and other measures developed by the Fed and other central banks.

Investors are worried that central bankers may feel pressure to withdraw the stimulus earlier than planned due to stronger-than-expected inflation. The Federal Reserve said earlier that it had foreseen to keep interest rates low until late next year.

In the energy market, benchmark US crude fell $ 2.22 per barrel to $ 76.17 in electronic trading on the New York Mercantile Exchange. Brent crude, the international oil price standard, fell from $ 1.84 to $ 79.08 per barrel in London.

The dollar fell from 115.36 yen on Thursday to 114.74 yen. The euro remained strong at $ 1.1221.

Asian stock markets sink as traders monitor European virus incidents

Source link Asian stock markets sink as traders monitor European virus incidents

Related Articles

Back to top button