Asia Down Following Wall Street Reversal

Asian markets closed in negative territory on Wednesday after Wall Street reversed a triple-digit point gain to close lower in the previous session.

The Nikkei 225 average in Japan backtracked 83.47 points, or 0.4%, to 23,868.74, after touching a 26-year high in the previous session. Major exporter stocks finished the session mixed while index heavyweights SoftBank Group and Fanuc declined 0.8% and 3.4%, respectively.

Core machinery orders released Wednesday showed a second consecutive monthly increase for the month of November. Core orders, a volatile metric, rose 5.7% compared to the previous month — easily topping the 1.4% decline projected by experts.

Against the yen, the U.S. dollar rose to fetch 110.80.

The Hang Seng Index in Hong Kong gained 78.66 points, or 0.3%, to 31,983.41.

Financials were a mixed picture after rising in the last session: HSBC Holdings edged up 0.1% and China Construction Bank slipped 0.3% in the afternoon. Index heavyweight Tencent traded 0.8% higher and insurer AIA fell 1%

Country Garden declined 5.9% after the property developer said in a Wednesday filing it intended to place 460 million shares and issue convertible bonds, which would raise some 23.5 billion Hong Kong dollars ($3 billion U.S.).

Shares of Wanda Hotel Development were higher by 3.8% after it announced in a Tuesday filing that it would gain 434 million Hong Kong dollars ($55 million U.S.) after selling its stake in Wanda International Real Estate Investment to an unnamed third party. The Wanda International stake will be sold for just under 36 million pounds ($49 million U.S).

Korean markets tailed off slightly, as shares of Samsung Electronics finished the session 0.8% lower. Rival chipmaker SK Hynix edged down 0.4% after trading above the flat line earlier in the day.

Markets in Australia yielded ground following the fall in base metals seen overnight. The materials sector led losses on the index, trading lower by 2%. Major mining names recorded significant declines: Rio Tinto fell 3.5% BHP tumbled 2.9% and Fortescue Metals slid 3% by the end of the session.

Shares of Asian companies exposed to bitcoin also saw declines on the day. In Japan, Remixpoint closed down 4%, Ceres sank 13.8% and GMO Internet fell 8%. South Korean bitcoin-associated plays also plunged: Vidente lost 17% and Kakao tumbled 4.6% by the end of the day.


In Shanghai, the CSI 300 doffed 10.35 points, or 0.2%, to 4,284.12, despite gains in the telecommunications and financials sectors, with Industrial and Commercial Bank of China rising 2.1% on the day.

In other markets

The Kospi in Korea lost 6.31 points, or 0.3%, to 2,515.43

In Taiwan, the Taiex Index took on 18.69 points, or 0.2%, to 11,004.80

In Singapore, the Straits Times Index dipped 8.3 points, or 0.2%, to 3,541.91

In New Zealand, the NZX 50 progressed 47.13 points, or 0.6%, to 8,297.67

In Australia, the ASX 200 fell 32.82 points, or 0.5%, to 6,015.81