Asian stock markets lower after string of gains
Wednesday, 10 November 2010
TOKYO, Nov 9 (AP): Asian stocks dropped Tuesday as markets pulled back from a rally that has driven some of the region's benchmarks to record highs.
Oil prices also fell following a string of gains but gold reached a new high above $1,400 an ounce as some investors sought a safe haven.
Japan's Nikkei 225 stock average fell 40.33 points, or 0.4 per cent, to 9,692.59 with exporters pressured by the dollar resuming its fall against the yen.
Hong Kong's Hang Seng lost 0.8 per cent to 24,774.05 and South Korea's Kospi slipped 0.1 per cent to 1,940.49. Australia's S&P/ASX 200 shed 0.5 per cent to 4,755.00.
China's Shanghai Composite Index declined 0.4 per cent to 3,146.91. Markets in Singapore and Taiwan were also lower.
Gains in global stocks and commodities were extended last week after the US Federal Reserve announced it would sink $600 billion into buying Treasurys over the next eight months to stimulate the sluggish economy by lowering long-term interest rates.
Indexes in India, Indonesia, the Philippines and Malaysia have recently hit new highs while others have touched multiyear peaks.
But the rally began to run out of steam by Friday in the US despite the Labour Department reported a better-than-expected increase in the number of new jobs.
The Dow Jones industrial average fell 37.24, or 0.3 per cent, to close at 11,406.84 Monday. It surged 2.9 per cent last week after the Fed announced its stimulus plan.
The Standard and Poor's 500 index fell 2.60, or 0.2 per cent, to 1,223.25. The Nasdaq composite index continued to outperform other market measures, as it has done all year, edging up 1.07, or 0.04 per cent, to 2,580.05.
In currencies, the dollar fell to 81.03 yen, from ¥81.20 in New York late Monday. The euro rose to $1.3876 from $1.3849.
Benchmark crude for December delivery was down 37 cents at $86.69 a barrel in electronic trading on the New York Mercantile Exchange. The contract settled up 21 cents at $87.06 Monday.
Oil prices also fell following a string of gains but gold reached a new high above $1,400 an ounce as some investors sought a safe haven.
Japan's Nikkei 225 stock average fell 40.33 points, or 0.4 per cent, to 9,692.59 with exporters pressured by the dollar resuming its fall against the yen.
Hong Kong's Hang Seng lost 0.8 per cent to 24,774.05 and South Korea's Kospi slipped 0.1 per cent to 1,940.49. Australia's S&P/ASX 200 shed 0.5 per cent to 4,755.00.
China's Shanghai Composite Index declined 0.4 per cent to 3,146.91. Markets in Singapore and Taiwan were also lower.
Gains in global stocks and commodities were extended last week after the US Federal Reserve announced it would sink $600 billion into buying Treasurys over the next eight months to stimulate the sluggish economy by lowering long-term interest rates.
Indexes in India, Indonesia, the Philippines and Malaysia have recently hit new highs while others have touched multiyear peaks.
But the rally began to run out of steam by Friday in the US despite the Labour Department reported a better-than-expected increase in the number of new jobs.
The Dow Jones industrial average fell 37.24, or 0.3 per cent, to close at 11,406.84 Monday. It surged 2.9 per cent last week after the Fed announced its stimulus plan.
The Standard and Poor's 500 index fell 2.60, or 0.2 per cent, to 1,223.25. The Nasdaq composite index continued to outperform other market measures, as it has done all year, edging up 1.07, or 0.04 per cent, to 2,580.05.
In currencies, the dollar fell to 81.03 yen, from ¥81.20 in New York late Monday. The euro rose to $1.3876 from $1.3849.
Benchmark crude for December delivery was down 37 cents at $86.69 a barrel in electronic trading on the New York Mercantile Exchange. The contract settled up 21 cents at $87.06 Monday.