Most Asian markets drop
Tuesday, 11 December 2007
BANGKOK (Thailand), Dec 10 (AP): Most Asian markets edged downward amid fading hopes for a substantive US interest rate cut this week and as investors pocketed gains in stocks that had rallied over the last week.
In Tokyo, the stock market fell for the first time in four sessions, with the benchmark Nikkei 225 index slipping a modest 31.98 points, or 0.20 per cent, to close at 15,924.39 points.
Modest US employment data released Friday suggested to some investors that the Federal Reserve will cut US interest rates a quarter point at its policy meeting Tuesday instead of a half-point. The Labor Department reported 94,000 jobs were added to payrolls in November and that the unemployment rate held steady at 4.7 per cent, a reassuring sign for an economy that is fighting to avoid a recession.
The American economy -- the world's biggest -- is a vital market for Asian exporters. Many traders said a quarter-point rate cut had already been factored into stock prices.
Japanese shipping companies were notable losers as investors took profits from their recent gains. Kawasaki Kisen fell 3.3 per cent, while Mitsui O.S.K. Lines dropped 2.6 per cent.
Oil shares also faced selling after crude oil prices fell below US$88 a barrel in Asian trading Monday. Nippon Oil shed 2.5 per cent, and Showa Shell was down 2.6 per cent.
Hong Kong stocks dropped on profit-taking in mainland developers and banks after China's central bank raised banks' reserve ratios over the weekend, the latest move by authorities to curb excess bank lending.
The blue chip Hang Seng Index fell 341.37 points, or 1.18 per cent, to 28,501.10.
Elsewhere:
BANGKOK: Thailand's financial markets were closed Monday for a public holiday.
JAKARTA: Indonesian shares rose. The benchmark index climbed 0.4 per cent to 2,790.265
KUALA LUMPUR: Malaysian shares fell, with the benchmark Kuala Lumpur Composite Index falling 0.6 per cent to 1,425.13.
MANILA: Philippine shares plunged as investors pocketed gains from a seven-day rally. The Philippine Stock Exchange Index fell 1.9 per cent to 3,675.8. It had gained 6.3 per cent over the past seven sessions.
MUMBAI: Indian shares declined on profit-taking in software firms and pharmaceutical companies. The Bombay Stock Exchange's 30-share Sensex index declined 35 points, or 0.2 per cent, to 19,931 points.
SEOUL: South Korean shares fell. Units of Samsung Group fell in the wake of an oil spill last week that has fouled the country's southwest coast. A Samsung construction barge hit a Hong Kong-registered oil tanker to cause the spill last week. The Korea Composite Stock Price Index, or Kospi, dropped 1.4 per cent to finish at 1,906.4.
SINGAPORE: Singapore's benchmark Straits Times Index lost 4.87 points, or 0.1 per cent, to close at 3,553.08 as investors remained cautious ahead of the Fed's meeting.
SYDNEY: Australian stocks edged lower as traders worried that the expected cut in US interest rates had already been factored into the market. The benchmark S&P/ASX 200 index shed 0.4 per cent to finish at 6,625.1. It hit a four-week high Friday.
TAIPEI: Taiwan shares fell, weighed down by losses in food and rubber sectors. The Weighted Price Index of the Taiwan Stock Exchange dropped 1.4 per cent to 8,598.0.
WELLINGTON: New Zealand stocks fell in a muted session as investors wait for Fed's decision on interest rates. The benchmark NZX-50 index dropped 0.9 per cent to close at 4,057.5.
In Tokyo, the stock market fell for the first time in four sessions, with the benchmark Nikkei 225 index slipping a modest 31.98 points, or 0.20 per cent, to close at 15,924.39 points.
Modest US employment data released Friday suggested to some investors that the Federal Reserve will cut US interest rates a quarter point at its policy meeting Tuesday instead of a half-point. The Labor Department reported 94,000 jobs were added to payrolls in November and that the unemployment rate held steady at 4.7 per cent, a reassuring sign for an economy that is fighting to avoid a recession.
The American economy -- the world's biggest -- is a vital market for Asian exporters. Many traders said a quarter-point rate cut had already been factored into stock prices.
Japanese shipping companies were notable losers as investors took profits from their recent gains. Kawasaki Kisen fell 3.3 per cent, while Mitsui O.S.K. Lines dropped 2.6 per cent.
Oil shares also faced selling after crude oil prices fell below US$88 a barrel in Asian trading Monday. Nippon Oil shed 2.5 per cent, and Showa Shell was down 2.6 per cent.
Hong Kong stocks dropped on profit-taking in mainland developers and banks after China's central bank raised banks' reserve ratios over the weekend, the latest move by authorities to curb excess bank lending.
The blue chip Hang Seng Index fell 341.37 points, or 1.18 per cent, to 28,501.10.
Elsewhere:
BANGKOK: Thailand's financial markets were closed Monday for a public holiday.
JAKARTA: Indonesian shares rose. The benchmark index climbed 0.4 per cent to 2,790.265
KUALA LUMPUR: Malaysian shares fell, with the benchmark Kuala Lumpur Composite Index falling 0.6 per cent to 1,425.13.
MANILA: Philippine shares plunged as investors pocketed gains from a seven-day rally. The Philippine Stock Exchange Index fell 1.9 per cent to 3,675.8. It had gained 6.3 per cent over the past seven sessions.
MUMBAI: Indian shares declined on profit-taking in software firms and pharmaceutical companies. The Bombay Stock Exchange's 30-share Sensex index declined 35 points, or 0.2 per cent, to 19,931 points.
SEOUL: South Korean shares fell. Units of Samsung Group fell in the wake of an oil spill last week that has fouled the country's southwest coast. A Samsung construction barge hit a Hong Kong-registered oil tanker to cause the spill last week. The Korea Composite Stock Price Index, or Kospi, dropped 1.4 per cent to finish at 1,906.4.
SINGAPORE: Singapore's benchmark Straits Times Index lost 4.87 points, or 0.1 per cent, to close at 3,553.08 as investors remained cautious ahead of the Fed's meeting.
SYDNEY: Australian stocks edged lower as traders worried that the expected cut in US interest rates had already been factored into the market. The benchmark S&P/ASX 200 index shed 0.4 per cent to finish at 6,625.1. It hit a four-week high Friday.
TAIPEI: Taiwan shares fell, weighed down by losses in food and rubber sectors. The Weighted Price Index of the Taiwan Stock Exchange dropped 1.4 per cent to 8,598.0.
WELLINGTON: New Zealand stocks fell in a muted session as investors wait for Fed's decision on interest rates. The benchmark NZX-50 index dropped 0.9 per cent to close at 4,057.5.