Asian shares fall; oil steadies near a 2014 high2 min read . Updated: 02 Oct 2018, 11:46 AM IST
Global investor sentiment remains fragile, even after a deal between the US and Canada to revamp the Nafta bloc with Mexico
Asian stocks declined after a muted US trading session, with Japanese shares paring gains as the yen fluctuated after hitting its weakest against the dollar this year.
The Nikkei 225 Stock Average retreated from an intraday high, after closing Monday at its highest since 1991. Stocks in Hong Kong underperformed as traders returned from a long weekend, and equities also fell in Australia and South Korea. China’s markets are shut throughout the week. Earlier, the S&P 500 Index finished higher, though more stocks fell than rose in the benchmark index. The pound rose following a report the UK is planning a compromise on Irish border rules, before pulling back.
Global investor sentiment remains fragile, even after a deal between the US and Canada to revamp the Nafta bloc with Mexico. Sino-American tensions remain in focus after the Chinese navy dispelled an American missile destroyer from waters near South China Sea islands, in China’s account of the incident. Meantime, political drama in Washington still swirls around President Donald Trump’s Supreme Court nominee, which may feed through to November congressional elections and affect the outlook for the administration’s agenda.
Elsewhere, oil consolidated at its highest in almost four years as a slowdown in US drilling adds to concern over supply losses from Iran and Venezuela. Indonesia’s rupiah led declines in Asian currencies, falling past 15,000 per dollar for the first time since 1998 after inflation came in slower than forecast. The Australian dollar was stable after the central bank kept its benchmark interest rate at a record low and maintained its assessment of the economy.
Here are some key events coming up this week:
UK Prime Minister Theresa May speaks October 3. in Birmingham. A central bank policy decision from the Reserve Bank of India is due Friday. US employment reports for September also due Friday.
These are the main moves in markets:
Japan’s Topix index climbed 0.6% and the Nikkei 225 Stock Average rose 0.4% as of 1:39 pm in Tokyo. Australia’s S&P/ASX 200 Index fell 0.7% . South Korea’s Kospi index lost 0.6% . Hong Kong’s Hang Seng Index declined 1.6% . S&P 500 futures fell 0.1%. The S&P 500 itself rose 0.4% Monday. The MSCI Asia Pacific Index declined 0.5%.
The yen was little changed at 113.95 per dollar, near the weakest since November 2017. The offshore yuan was at 6.8854 per dollar. The Bloomberg Dollar Spot Index was flat. The euro was steady at $1.1574 after dipping 0.2% for a fourth day of losses Monday.
The yield on 10-year Treasuries held at 3.08%. Australia’s 10-year bond yield rose one basis point to 2.68%. Italy’s 10-year yield climbed 15 basis points Monday, to 3.295%.
West Texas Intermediate crude rose 0.3% to $75.55 a barrel after hitting the highest level since 2014 Monday. Gold rose 0.3% to $1,192.60 an ounce. LME copper fell 0.6% to $6,213.50 a metric ton.
This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.