Asian markets on Monday ended broadly lower, but above their lows of the day, after a volatile session that was dominated by geopolitical tensions on the Korean peninsula.
In Japan, the Nikkei 225 Index gave back 97.42 points, or 0.9%, to 10,216.40
Hong Kong’s Hang Seng Index was 75.77 points, or 0.3%, lower to 22,639.10
The earlier tumble came on concerns that South Korea’s planned artillery tests in the Yellow Sea would prompt a military reaction from North Korea, escalating tensions in the region. But markets recovered sharply as fears eased in the wake of a CNN report that North Korea was willing to permit U.N. nuclear inspectors to return.
Shares of LG Display Co. fell 2.6%, Posco declined 1% and Korean Air Lines Co. dropped 0.8%.
Some banking stocks outperformed, however, shrugging off Seoul’s Sunday announcement of a plan to impose a levy on the balance of non-deposit foreign debt. Such a tightening measure had been well flagged. KB Financial Group rose 1.5% and Woori Finance Holdings Co. added 6.6%.
In Sydney, Santos shares climbed 4.1% to 13.5 Australian dollars ($13.30 U.S.) after it said it has raised A$500 million from an institutional placement at A$12.55 a share.
The issue was launched after Santos secured a liquefied-natural-gas off-take deal with Korea Gas Corp. and agreed to sell a 15% stake in its Gladstone LNG project to Korea Gas and France’s Total for A$665 million.
The euro was recently buying $1.3158 U.S., compared with $1.3182 U.S. late in New York on Friday. It was also changing hands for 110.35 yen against 110.66 yen, while the U.S. dollar was at 83.87 yen versus 83.96 yen.
The Korean won went on a roller-coaster ride during the session, with the U.S. dollar rising as high as 1,172.05 won during the day before falling as low as 1,149.15 won. More recently, it was at 1,153.05 won.
CHINA
Chinese property developers were particularly weighed by concerns that prices may drop and supply may increase.
Shanghai’s CSI 300 Index fell 47 points, or 1.5%, to 3,178.66
The Ministry of Land and Resources on Sunday urged local authorities to take measures to curb rapid growth in land prices and to maintain a stable land supply for residential use.
China Vanke fell 1.2% in Shenzhen, Poly Real Estate dropped 1.4% in Shanghai and China Overseas Land & Investment gave up 1.4% in Hong Kong.
In other markets
Taiwan’s Taiex Index backslid 49.18 points, or 0.6%, to 8,768.72.
Singapore’s Straits Times Index retreated 20.05 points, or 0.6%, to 3,132.96
Korea’s Kospi Index reared 6.02 points, or 0.3%, to 2,020.28
New Zealand’s NZX 50 Index eased 25.16 points, or 0.8%, to 3,299.96
Australia’s S&P/ASX 200 Index slid 26.50 points, or 0.6%, to 4,736.60
