Chinese Shares Suffer Worst Single-day Loss as Investors Raise Fresh Liquidity Concerns

October 30, 2017
Chinese Shares Suffer Worst Single-day Loss as Investors Raise Fresh Liquidity Concerns

By Investors Hub

Asian stocks turned in a mixed performance on Monday despite Wall Street shares closing at fresh record highs on Friday after the release of upbeat corporate earnings results as well as solid GDP data.

Chinese shares suffered their worst single-day loss in 11 weeks as a sell-off in the bond markets continued and China’s securities regulator approved nine IPOs, raising fresh concerns about liquidity. The benchmark Shanghai Composite Index slid 26.22 points or 0.77 percent to 3,390.59.

Hong Kong’s Hang Seng Index fell 102.66 points or 0.4 percent to 28,336.19 ahead of official factory and service sector data from China due on Tuesday.

Japanese shares ended rough flat ahead of key central bank meetings. The Nikkei 225 Index closed marginally higher at 22,011.67, while the broader Topix Index closed slightly lower.

Kobe Steel jumped 2.2 percent on a Nikkei report that the troubled steelmaker has decided to withdraw its forecast for current financial year.

On the economic front, retail sales in Japan increased as expected in September after falling in the previous month, preliminary figures showed. Retail sales rose a seasonally adjusted 0.8 percent sequentially in September, reversing a 1.6 percent drop in August.

Australian shares hit nearly six-month highs, led by financials and energy stocks. The benchmark S&P/ASX 200 Index rose 15.90 points or 0.3 percent to 5,919.10, while the broader All Ordinaries Index finished 14.40 points or 0.2 percent higher at 5,983.70.

Woodside Petroleum, Origin Energy, Beach Energy and Santos climbed 1-4 percent after oil prices rose more than 2 percent on Friday amid expectations that an OPEC-led production cut due to expire next March would be extended.

NAB rose 0.6 percent after it reached a settlement with ASIC over alleged manipulation of the bank bill swap rate. Rivals ANZ and Westpac also gained around 0.6 percent each.

Mining heavyweights BHP Billiton and Rio Tinto closed on a flat note, while gold miners closed broadly higher.

Modupe Gbadeyanka

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

Leave a Reply

European Stocks Close Mixed Amid Political Tension in Spain
Previous Story

European Stocks Close Mixed Amid Political Tension in Spain

Buhari Bows to Pressure, Sacks Babachir Lawal, Ayo Oke
Next Story

Buhari Bows to Pressure, Sacks Babachir Lawal, Ayo Oke

Latest from Economy

Don't Miss