Asian markets were mostly down on Tuesday, with Shanghai leading the region lower, while Australia was weighed by further falls in mining stocks.
Japan’s Nikkei 225 index recovered 42.68 points, or 0.3%, to 14,975.97, as the market recovered from a 1.1% drop on Monday — the index’s largest daily fall in a month.
Tokyo stocks were supported by a weaker yen, which stabilized after the U.S. dollar softened overnight. The U.S. dollar was last trading at ¥102.01, compared with ¥101.83 late Monday in New York.
The Hang Seng Index in Hong Kong dropped 97.08 points, or 0.4%, to 23,203.59
In Hong Kong, China Minsheng Banking declined 0.8%
Australia’s market lost ground, as mining companies were hit by further falls in the price of iron ore, which fell 2% to a fresh 21-month low. Rio Tinto lost 1% and Fortescue Metals Group was 3% lower
Energy stocks in Sydney were also weighed by news that Royal Dutch Shell is selling 3.2 billion Australian dollars ($2.99 billion U.S.) worth of shares in Woodside Petroleum to institutional investors, which were selling other stocks to buy into the deal — especially in the energy sector, with Oil Search down 0.5% and Santos down 1.5%.
CHINA
The Shanghai CSI 300 fell 22.18 points, or 1%, to 2,169.67, after data showed that China attracted less foreign direct investment in May — down 6.7% from a year earlier at $8.6 billion U.S.
Furthermore, there were concerns that the government’s attempts to stimulate the economy will have a little effect. This was especially evident in bank stocks, which fell just one day after rising on news that some midsize lenders had received approval from the central bank to cut the amount of cash that they have to set aside as reserves.
Industrial Bank was 1.5% lower.
In other markets;
In Korea, the Kospi index gained 7.96 points, or 0.4%, to 2,001.55
Singapore’s Straits Times Index fell 15.82 points, or 0.5%, to 3,274.44
In Taiwan, the Taiex index grew 37.67 points, or 0.4%, to 9,240.60
In New Zealand, the NZX 50 added 14.70 points, or 0.3%, to 5,193.50
The Australian S&P/ASX 200 index shed 11.64 points, or 0.2%, to 5,400.67
