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Asian Stock Market: China dismal data, coronavirus woes portray a mixed trading tone

  • Asian stocks kickstart the fresh trading week carrying the previous week negative sentiment.
  • Rising coronavirus cases in the region, downbeat Chinese economic data poses threat to economic recovery.
  • US-China at a standoff in the first meeting of Beijing newly appointed ambassador in US.

Asian indices remain vulnerable to the fresh round of sell-off amid weaker Chinese Retails Sales and Industrial Production data. Investors remain pessimistic on the riskier asset on the spread of the Delta variant of COVID-19.

MSCI’s broadest index of Asia-pacific shares outside Japan fell 0.5%, heading toward the lows for the year touched in the previous month.

Japan’s Nikkei 225 eased 1.3% to near to its two-week low, falling for the third straight session. The Delta variant of COVID-19 has spread widely with the daily cases roar at an alarming rate, warned experts. Fresh cases were reported at 17,832 on Sunday, the 13th straight day above 10,000.

Hong Kong’s Hang Seng Index lost  0.98%, Kospi declined 1.16%.

The Shanghai Composite rose 0.35% for the first time in the previous sessions. The sentiments were supported by the hopes the government support after a slew of Chinese data showcased a weakening recovery momentum. 

The ASX 200 edged lower 32 points or 0.4%, for the first time in the previous eight sessions. Market sentiments were hit by a fresh lockdown to curb the spread of the coronavirus.

In the latest development, China’s newly appointed ambassador in the US pressured on the utmost importance of Taiwan in the Sino-US talks during his first meeting with a top US official, raising nervousness in the region.
 

Author

Rekha Chauhan

Rekha Chauhan

Independent Analyst

Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.

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