Stocks in Asia continue to give up ground

SYDNEY, Australia – Stocks in China continued their retreat on Thursday, while the Nikkei 225 in Japan also gave up more ground.

Only the Australian market had any buying support.

The U.S. dollar continued its dominance, particularly against the commodity-bloc which have extensive trade links with China. The Japanese yen however managed a sharp rise Thursday.

On Wednesday U.S. President Donald Trump entered the fray again on the current breakdown in negotiations between the U.S. and China on trade. He asserted that China “broke the deal” and said he would be going ahead with $200 billion in new tariffs on Chinese goods, unless Beijing “stops cheating our workers.”

The tariffs will come into effect at 12 midnight on Friday. China has promised to retaliate but so far has not indicated how.

The Shanghai Composite meantime on Thursday fell sharply, losing 42.80 points or 1.48% to 2,850.95, its lowest close since 22 February.

In Hong Kong, the Hang Seng shed 653.04 points or 2.25% to 28,350.16.

The Nikkei 225 in Tokyo lost 200.46 points or 0.93% to 21,402.13.

The Australian All Ords advanced 25.50 points or 0.40% to 6,377.30.

The euro remained weak at 1.1198 in late trading in Sydney on Thursday. The British pound battled to hold on to the 1.3000 level, last quoted at 1.3015.

The Japanese yen rose sharply to 109.71, while the Swiss franc appreciated to 1.0175.

The Canadian dollar fell to 1.3485. The Australian dollar was sharply weaker at 0.6976, as was the New Zealand dollar at 0.6582.

Overnight on Wall Street, the Dow Jones industrials gave up early gains to close just 2.24 points or 0.01% higher at 25,967.33.

The Standard and Poor’s 500 dipped 4.63 points or 0.16% to 2,879.42.

The Nasdaq Composide slipped 20.44 points or 0.26% to 7,943.32.

Published at Thu, 09 May 2019 08:22:46 +0000

Source: Stocks in Asia continue to give up ground.

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