The so-called “stock market bloodbath” has continued on Friday with major indices falling down to the lows of the last October. What's going on?
Asian equities keep retreating after Wall Street dive
On Wednesday, Asian equities kept rebounding following a steep dive on Wall Street overnight.
The Shanghai Composite as well as the Shenzhen Component slumped by respectively 0.1% and 0.3% in China.
US Trade Representative Robert Lighthizer’s office dared to accuse China of not changing its unfair practices as to its intellectual property as well as technology transfer policies.
Later this month American leader is expected to meet his Chinese rival Xi Jinping at the G-20 summit in Buenos Aires.
The Hang Seng Index tumbled by 0.3% in Hong Kong.
A Chinese travel website backed by tech company Tencent Holdings Ltd, Tongcheng-Elong Holdings Ltd managed to raise up to $180 million from an IPO in Hong Kong.
The given company sold up to 143.8 billion shares. The IPO generated far less than the $1 billion, which had been initially touted.
Sluggish markets along with a dive in the share price of Ctrip.Com International Ltd ADR made the company to diminish the IPO’s size.
Japan’s Nikkei 225 dived by 0.5%.
In addition to this, the KOSPI headed south by 0.3% in South Korea. The ASX 200 lost 0.2% in Australia.
The sink in Asian equities occurred after an abrupt dive on Wall Street overnight.
Besides this, the Dow Jones Industrial Average went down by 551.80 points concluding at 24,465.64. Moreover, the S&P 500 tumbled by 1.8%. As for te Nasdaq Composite, it lost 1.7% showing 6,908.82.
Aside from that, the Dow as well as the S&P 500 erased their profits for this year. For the year they have gone down by respectively 1% and 1.2%.
Furthermore, crude was gained attention after Trump came up with a statement, telling that America stands by Saudi Arabia notwithstanding the murder of the reporter and US resident Jamal Khashoggi by Saudi agents in October.
Besides coronavirus, other news has been driving the stocks of Apple, Wallmart and General Motors to the lower levels.
Will coronavirus continue keeping the markets in fear? What releases should we wait for? Find out in the news!
RBA Rate Statement is released on Tuesday at 07:30 MT time.
WTI oil prices jumped up after Donald Trump’s 2 tweets
Today the US nonfarm payroll data will be reported that could cause fluctuations of the market.