On Wednesday, American stock index futures headed south because dismal data out of China affected market sentiment, while traders waited for more developments related to the US-China trade conflict…
Asian equities go down on slumping China’s exports
On Monday, Asian equities tumbled following a substantial contraction in China’s exports that hinted at deepening cracks in the world's number two economy and increased worries of a steeper deceleration in global surge as well as and corporate profits.
As a matter of fact, E-minis for the S&P 500 went down by 0.8%, thus indicating increased risk aversion. As for spreadbetters, they demonstrated a poor start for the European bloc, while FTSE futures went down by 0.4%.
China’s fresh data disclosed that in December imports went down by 7.6% year-on-year, while experts had hoped for a 5% ascend. Besides this, exports suddenly went down by 4.4%, confounding hopes for a 3% leap.
The dismal numbers backed worries that American duties on Chinese experts were starting to heavily impact the Chinese decelerating economy.
Decelerating demand in China is already being perceived around the globe, with decelerating sales of goods varying from cars to iPhones.
A major indicator of global risk sentiment as well as a liquid proxy for China’s Yuan, the Australian dollar rebounded from a one-month maximum of $0.7235 recorded on Friday to $0.7186 following the dismal data.
Besides this, MSCI's index of Asia-Pacific equities went down by 1% from Friday's 1-1/2 month maximum, thus demonstrating its most impressive single-day slump since January 2.
As for Chinese equities, they found themselves in the red. The blue-chip index CSI300 headed south by 0.7%. The Hang Seng index dived by 1.5% in Hong Kong, while Australian equities AXJO rebounded from early gains, concluding the trading session generally intact.
Some financial analysts expect Monday's trade report to provide impetus to the Chinese cabinet to tackle the trade dispute with America.
The world's two leading economies have been negotiating for months with the aim of resolving their bitter trade conflict, without any signs of any significant progress in talks.
On Wednesday, Italian stocks led losses in the European Union right after the country's deputy prime minister told that Rome considers breaking EU fiscal rules, thus masking early revenue powered by optimism around the US-China trade conflict…
On Tuesday, another US-China tariff conflict escalation put pressure on Asian stocks, although remarks from American leader that he expects trade talks to be successful backed market sentiment…
Did Bitcoin manage to recover and what was the hottest news in the crypto and blockchain world? Read and find out!
On Monday, Asian stocks traded mostly higher, with Shanghai bucking the trend because centrist Emmanuel Macron fully matched opinion survey hopes and left anti-EU far-right nominee Marine Le Pen behind…
Japan's March real wages went down at the fastest pace in nearly two years, weighed by minor nominal pay lifts as well as a moderate ascend in consumer prices, thus posing a setback for Prime Minister Shinzo Abe's tries to revitalize the Japanese…