Most Asian markets fell after Chinese trade data signaled weakening global and domestic demand, the latest evidence that the world’s number-two economy is stalling.
The Nikkei 225 index dropped 203.93 points, or 1.1%, to close at 18,234.74
The Hang Seng index in Hong Kong fell 130.47 points, or 0.6%, to 22,600.46
Commodities-related assets fell Tuesday, with a benchmark of energy stocks in Australia down 2.3%. Hong Kong-listed Chinese firms were off 1%, with PetroChina Co. and China Petroleum & Chemical Corp down 2.2% and 1.4% respectively.
Base metal prices fell in Asia trade Tuesday with three-month copper and aluminum prices on the London Metal Exchange down by 0.6% respectively to $5,255 U.S. a ton and $1,585 U.S. a ton. Zinc was down 1.6% to $1,812 U.S. a ton.
CHINA
The CSI 300 in Shanghai shed 2.65 points, or 0.1%, to 3,345.04.
Chinese exports fell 3.7% in September from a year earlier in U.S. dollar terms, after a drop of 5.5% in August, data from the General Administration of Customs showed Tuesday.
Imports fell 20.4% from a year earlier compared with a 13.8% decline in August, though a rough breakdown showed a rise in crude imports.
While exports fell by a smaller percentage than economists expected, the trend still threatens to derail Beijing’s growth target of about 7% for the year. Third-quarter growth figures are set for release next week.
China’s slowdown has shaken global markets and regional economies that rely heavily on Chinese consumption. That pressure has sent emerging-market currencies and commodities to multi-year lows.
Before the data, Beijing guided the yuan stronger by the biggest percentage in nearly one year. It fixed the currency up 0.28% at 6.3231 to one U.S. dollar. The onshore yuan was last at 6.3345, near its strongest level since China’s devaluation of the yuan in August.
In Australia, which counts China among its biggest trading partners, the Australian dollar was down 0.5% against the U.S. dollar at $0.7317. It is also down from as high as $0.7382 Monday, though that was its strongest level since August.
At the same time, China’s data could stoke hopes for more stimulus. The Shanghai Composite Index had rallied 10% from its bottom on Aug. 26 as of Monday’s close, on expectations for new measures after the central bank announced a program to boost lending over the weekend.
Investors also are looking to Chinese inflation data due for release on Wednesday, according to the National Bureau of Statistics of China.
In other markets
The Kospi index in Korea eased 2.58 points, or 0.1%, to 2,019.05
Taiwan’s Taiex index fell 5.8 points, or 0.1%, to 8,567.92
In Singapore, the Straits Times Index doffed 47.23 points, or 1.6%, to 2,984.88
The NZX 50 gained 12.99 points, or 0.2%, to 5,702.82
The ASX 200 Index moved down 30.01 points, or 0.6%, to 5,202.85
