Asian markets mostly lower, watching Trump speech closely

TOKYO — Asian markets were mostly higher Wednesday as attention turned to President Donald Trump’s speech to Congress for clues on what might be ahead for trade, regulations and taxes.

KEEPING SCORE: Japan’s benchmark Nikkei 225 gained 0.5 percent in morning trading to 19,222.56. Australia’s S&P/ASX 200 slipped 0.6 percent at 5,676.90. But Hong Kong’s Hang Seng added 0.4 percent to 23,824.17, while the Shanghai Composite rose 0.5 percent to 3,257.53. South Korea’s markets were closed for a holiday. Australia’s S&P ASX/200 fell 0.5 percent to 5,685.00.

TRUMP SPEECH: Investors were listening closely to Trump’s speech to Congress, hoping for concrete policies to match his promises for an economic revival. Trump’s plans for tax reform, deregulation and ramped up spending on defense and infrastructure projects have mostly sent world share benchmarks higher.

THE QUOTE: “President Trump’s address will undoubtedly create short term volatility this morning in most markets. Markets will be hanging on every word, looking for some tremendously wonderful concrete details of his administration’s fiscal plans,” said Jeffrey Halley, senior market analyst at OANDA.

WALL STREET: The Dow fell 25.20 points, or 0.1 percent, to 20,812.24. The Standard & Poor’s 500 index slid 6.11 points, or 0.3 percent, to 2,363.64. The Nasdaq composite index lost 36.46 points, or 0.6 percent, to 5,825.44.

ENERGY: Benchmark U.S. crude added 12 cents to $54.13 a barrel in New York. It slipped 4 cents, or 0.1 percent, to $54.01 Tuesday. Brent crude, which is used to price international oils, added 13 cents to $56.64 a barrel in London.

CURRENCIES: The dollar rose to 113.19 yen from Tuesday’s 112.57 yen. The euro slipped to $1.0566 from $1.0586.

source: business.inquirer.net

Asian stock indexes mostly lower as oil prices sink

TOKYO  — Shares were mostly lower in Asia on Wednesday, as crude oil prices dipped and mainland Chinese markets were hit by sell-offs late in the day.

KEEPING SCORE: Japan’s benchmark Nikkei 225 edged up 0.2 percent to finish at 16,906.54 and Australia’s S&P/ASX 200 added 0.5 percent to 5,216.00. But most other regional markets fell. South Korea’s Kospi fell 0.3 percent to 2,005.83. Hong Kong’s Hang Seng fell 1.3 percent to 21,164.78, while the Shanghai Composite slipped 2.6 percent to 2,964.89, dipping by over 4 percent before recovering some of those losses.

OIL PRICES: Benchmark U.S. crude fell $1.00, or 2.4 percent, to $41.47 a barrel in electronic trading on the New York Mercantile Exchange. At one point it fell by 2.8 percent to $41.30 a barrel. It rose 84 cents on Tuesday. Brent crude, the international benchmark, slipped $1.02 cents to $43.01 a barrel in London.

EUROPE FOCUS: The European Central Bank’s governing council is meeting, and investors are closely watching for what President Mario Draghi might say at the news conference later this week. Doubts persist whether the stimulus measures the bank has taken are really working, such as cutting interest rates and expanding a government bond-buying.

THE QUOTE: “Sentiments will be driven by the ECB President Draghi when he speaks,” said Alex Wijaya, senior sales trader at CMC Markets in Singapore. “In his previous speech, Mr. Draghi hinted that the deposit rate won’t be cut further into negative territory. However with persistent low inflation and the euro now trading at six-month highs, Mr. Draghi could possibly backtrack on his previous statement and consider a further rate cut to fight deflationary pressure.”

source: business.inquirer.net