Bulletin
Investor Alert

London Markets Open in:

Asia Markets Archives | Email alerts

Oct. 8, 2012, 6:36 a.m. EDT · CORRECTED

Asia stocks weighed down by resource sector

Doubts about duration of QE after jobs data hurts resource sector

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Ping An Bank Co. Ltd. (000001)
  • X
    Hang Seng Index (HSI)
  • X
    KOSPI Composite Index (180721)

or Cancel Already have a watchlist? Log In

By Sarah Turner and V. Phani Kumar, MarketWatch

An earlier version of this story misstated the nature of the holiday in the U.S.

HONG KONG (MarketWatch)—Asian markets fell Monday as resource-sector shares dropped on doubts about the duration of monetary easing after Friday’s upbeat U.S. jobs report, with concern about China’s economic growth also weighing on sentiment.

The Shanghai Composite Index /zigman2/quotes/206600939/delayed CN:000001 -0.06%  fell 0.6% after a volatile start to the day as mainland stock markets reopened after the Golden Week holidays.

Snapping a five-trading-day winning-streak, Hong Kong’s Hang Seng Index /zigman2/quotes/210598030/delayed HK:HSI -1.11%  fell 0.9%, South Korea’s Kospi /zigman2/quotes/210598069/delayed KR:180721 -1.49%  dropped 0.7%, Australia’s S&P/ASX 200 Index /zigman2/quotes/210598100/delayed AU:XJO -0.33%  slipped 0.3% and Taiwan’s Taiex retreated 1%.

/zigman2/quotes/210598127/delayed SHCOMP 3,039.67, +9.52, +0.31%
/zigman2/quotes/210598065/realtime DJIA 29,219.98, -128.05, -0.44%
Shanghai Composite Vs. Dow Jones
One-year chart

Japanese bourses were closed for a holiday.

“Creating a sustainable recovery in the jobs market is one of the core principles of the [U.S. Federal Reserve’s quantitative easing] program, and this positive data could mean QE won’t go on for as long as some hoped,” said Stan Shamu, a market strategist at IG Markets.

The performance in Asia followed a mixed finish on Wall Street Friday, after monthly payrolls data showed the U.S. jobless rate unexpectedly dropped to 7.8%, its lowest level since January 2009.

Earlier Monday, the World Bank also lowered its forecasts for economic expansion in developing East Asia, cutting its 2012 growth projection to 7.2% from an earlier estimate of 7.6%. It also cut China’s growth forecast to 7.7% in 2012 and 8.1% in 2013. Read full story on the World Bank’s revised projections.

Investors also looked ahead to the Eurogroup meeting of the euro-zone finance ministers, amid uncertainty over when Spain will formally request a bailout, and some speculation that banks in Cyprus may need financial assistance.

Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA -0.44%   and S&P 500 index /zigman2/quotes/210599714/realtime SPX -0.38%  futures were trading lower late afternoon in Hong Kong, with focus on the upcoming quarterly earnings season. Metals giant Alcoa Inc. /zigman2/quotes/200686102/composite AA -3.59% unofficially kicks off the third-quarter earnings season on Tuesday. Read: Stocks lose grip on jobs gains, rise for week.

Gold and other metals settled lower in New York on Friday after the U.S. jobs data dented expectations of more monetary easing measures. Read more on metals.

Several metal-related stocks dropped in Asia on Monday, with gold mining giant Newcrest Mining Ltd. /zigman2/quotes/203840223/delayed AU:NCM +1.45%   /zigman2/quotes/206026738/delayed NCMGF +0.32% losing 3.2% and its smaller rival Perseus Mining Ltd. /zigman2/quotes/205179925/delayed AU:PRU +0.40% declining 2.4% in Sydney. In Seoul, steel giant Posco /zigman2/quotes/209201002/composite PKX -2.68% /zigman2/quotes/201759282/delayed KR:005490 -1.86% fell 1.9%, while Hyundai Steel Co. /zigman2/quotes/203290957/delayed KR:004020 -2.53% dropped 2.1%.

Click to Play

Indonesian trade minister plays

Indonesian Trade Minister Gita Wirjawan shows his skills on the piano.

In Shanghai, shares of Zhongjin Gold Corp. /zigman2/quotes/207741711/delayed CN:600489 +4.40% skidded 2.9%, Aluminum Corp. of China Ltd., or Chalco /zigman2/quotes/210453246/delayed CN:601600 0.00% /zigman2/quotes/208051344/composite ACH -0.27% , gave up 1% and Jiangxi Copper Co. /zigman2/quotes/204256025/delayed JIXAY -2.94% /zigman2/quotes/201334192/delayed CN:600362 +0.13%  lost 2.3%.

In Hong Kong trading, Zijin Mining Group Co. /zigman2/quotes/209836076/delayed ZIJMF -5.75% /zigman2/quotes/204517000/delayed HK:2899 +1.04%  stumbled 4.6%, while Chalco /zigman2/quotes/202960704/delayed HK:2600 0.00%  and Jiangxi /zigman2/quotes/201668148/delayed HK:358 -1.24%  dropped 0.6% and 1.4%, respectively.

The drop in Hong Kong came as UBS strategists downgraded their view on the local market to underweight from neutral, saying that some of the drivers for recent outperformance may fade, including the “relative earnings picture” and valuations relative to mainland Chinese equities.

Energy sector shares were also weaker as Nymex crude-oil prices dropped further below $90-a-barrel in electronic trading.

In Hong Kong, Cnooc Ltd. /zigman2/quotes/204964401/composite CEO +0.43%   /zigman2/quotes/203421416/delayed HK:883 -0.33%  and PetroChina Co. /zigman2/quotes/205108732/composite PTR -1.26% /zigman2/quotes/204979431/delayed HK:857 -0.88% /zigman2/quotes/206980083/delayed CN:601857 -0.19% shed 1.4% and 1.9%, respectively, with the latter also losing 0.7% in Shanghai, while Woodside Petroleum Ltd. /zigman2/quotes/203437212/delayed AU:WPL -0.15% /zigman2/quotes/206334215/delayed WOPEY -1.30%  gave up 0.5% in Sydney.

Among other notable movers, Bank of Queensland Ltd. /zigman2/quotes/205781039/delayed AU:BOQ +1.05% extended losses made late last week when the firm warned that it may report a fiscal-year loss, with another 4.1% decline on Monday.

/zigman2/quotes/206600939/delayed
CN : China: Shenzhen
¥ 15.58
-0.01 -0.06%
Volume: 99.51M
Feb. 21, 2020 3:00p
P/E Ratio
11.14
Dividend Yield
1.40%
Market Cap
¥302.54 billion
Rev. per Employee
¥6.12M
loading...
/zigman2/quotes/210598030/delayed
HK : Hong Kong Exchange
27,302.88
-306.28 -1.11%
Volume: 1.39M
Feb. 21, 2020 3:14p
loading...
/zigman2/quotes/210598069/delayed
KR : Korea Exchange
2,162.84
-32.66 -1.49%
Volume: 619,266
Feb. 21, 2020 3:33p
loading...
/zigman2/quotes/210598100/delayed
AU : S&P ASX
7,139.00
-23.50 -0.33%
Volume: 1.07M
Feb. 21, 2020 5:17p
loading...
/zigman2/quotes/210598065/realtime
US : Dow Jones Global
29,219.98
-128.05 -0.44%
Volume: 289.07M
Feb. 20, 2020 5:10p
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,373.23
-12.92 -0.38%
Volume: 2.03B
Feb. 20, 2020 5:10p
loading...
/zigman2/quotes/200686102/composite
US : U.S.: NYSE
$ 16.10
-0.60 -3.59%
Volume: 7.68M
Feb. 20, 2020 6:30p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$2.99 billion
Rev. per Employee
$965,500
loading...
/zigman2/quotes/203840223/delayed
AU : Australia: Sydney
$ 28.72
+0.41 +1.45%
Volume: 3.43M
Feb. 21, 2020 4:10p
P/E Ratio
27.57
Dividend Yield
1.15%
Market Cap
$21.72 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/206026738/delayed
US : U.S.: OTC
$ 18.63
+0.06 +0.32%
Volume: 545.00
Feb. 20, 2020 5:20p
P/E Ratio
25.67
Dividend Yield
N/A
Market Cap
$14.37 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/205179925/delayed
AU : Australia: Sydney
$ 1.27
+0.0050 +0.40%
Volume: 5.84M
Feb. 21, 2020 4:10p
P/E Ratio
57.73
Dividend Yield
N/A
Market Cap
$1.48 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/209201002/composite
US : U.S.: NYSE
$ 44.31
-1.22 -2.68%
Volume: 180,494
Feb. 20, 2020 6:30p
P/E Ratio
18.49
Dividend Yield
4.32%
Market Cap
$14.20 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/201759282/delayed
KR : S. Korea: KRX
211,500
-4,000 -1.86%
Volume: 214,957
Feb. 21, 2020 3:30p
P/E Ratio
18.64
Dividend Yield
4.73%
Market Cap
₩17264.90 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/203290957/delayed
KR : S. Korea: KRX
26,950.00
-700.00 -2.53%
Volume: 550,724
Feb. 21, 2020 3:30p
P/E Ratio
184.22
Dividend Yield
2.78%
Market Cap
₩3629.64 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/207741711/delayed
CN : China: Shanghai
¥ 8.78
+0.37 +4.40%
Volume: 91.16M
Feb. 21, 2020 3:00p
P/E Ratio
225.13
Dividend Yield
0.23%
Market Cap
¥29.02 billion
Rev. per Employee
¥1.20M
loading...
/zigman2/quotes/210453246/delayed
CN : China: Shanghai
¥ 3.23
0.00 0.00%
Volume: 68.13M
Feb. 21, 2020 3:00p
P/E Ratio
587.27
Dividend Yield
0.35%
Market Cap
¥54.98 billion
Rev. per Employee
¥2.53M
loading...
/zigman2/quotes/208051344/composite
US : U.S.: NYSE
$ 7.30
-0.02 -0.27%
Volume: 44,743
Feb. 20, 2020 6:30p
P/E Ratio
321.59
Dividend Yield
N/A
Market Cap
$1.15 billion
Rev. per Employee
$387,394
loading...
/zigman2/quotes/204256025/delayed
US : U.S.: OTC
$ 51.90
-1.57 -2.94%
Volume: 0.00
Feb. 12, 2020 5:20p
P/E Ratio
33.52
Dividend Yield
1.97%
Market Cap
$17.24 billion
Rev. per Employee
$1.55M
loading...
/zigman2/quotes/201334192/delayed
CN : China: Shanghai
¥ 14.91
+0.02 +0.13%
Volume: 36.93M
Feb. 21, 2020 3:00p
P/E Ratio
20.92
Dividend Yield
1.34%
Market Cap
¥51.56 billion
Rev. per Employee
¥10.12M
loading...
/zigman2/quotes/209836076/delayed
US : U.S.: OTC
$ 0.48
-0.03 -5.75%
Volume: 2,000
Feb. 20, 2020 11:11a
P/E Ratio
20.13
Dividend Yield
N/A
Market Cap
$12.05 billion
Rev. per Employee
$872,997
loading...
/zigman2/quotes/204517000/delayed
HK : Hong Kong
HK$ 3.87
+0.04 +1.04%
Volume: 39.68M
Feb. 21, 2020 3:14p
P/E Ratio
20.89
Dividend Yield
2.94%
Market Cap
HK$97.19 billion
Rev. per Employee
HK$6.84M
loading...
/zigman2/quotes/202960704/delayed
HK : Hong Kong
HK$ 2.29
0.00 0.00%
Volume: 16.17M
Feb. 21, 2020 3:14p
P/E Ratio
318.06
Dividend Yield
N/A
Market Cap
HK$38.98 billion
Rev. per Employee
HK$3.03M
loading...
/zigman2/quotes/201668148/delayed
HK : Hong Kong
HK$ 9.55
-0.12 -1.24%
Volume: 3.51M
Feb. 21, 2020 3:12p
P/E Ratio
11.75
Dividend Yield
2.38%
Market Cap
HK$33.48 billion
Rev. per Employee
HK$12.12M
loading...
/zigman2/quotes/204964401/composite
US : U.S.: NYSE
$ 158.15
+0.67 +0.43%
Volume: 317,059
Feb. 20, 2020 6:30p
P/E Ratio
8.38
Dividend Yield
5.28%
Market Cap
$70.61 billion
Rev. per Employee
$1.78M
loading...
/zigman2/quotes/203421416/delayed
HK : Hong Kong
HK$ 12.18
-0.04 -0.33%
Volume: 46.05M
Feb. 21, 2020 3:14p
P/E Ratio
8.23
Dividend Yield
5.99%
Market Cap
HK$545.59 billion
Rev. per Employee
HK$13.96M
loading...
/zigman2/quotes/205108732/composite
US : U.S.: NYSE
$ 43.81
-0.56 -1.26%
Volume: 94,702
Feb. 20, 2020 6:30p
P/E Ratio
10.13
Dividend Yield
3.86%
Market Cap
$9.24 billion
Rev. per Employee
$678,384
loading...
/zigman2/quotes/204979431/delayed
HK : Hong Kong
HK$ 3.39
-0.03 -0.88%
Volume: 213.99M
Feb. 21, 2020 3:14p
P/E Ratio
13.00
Dividend Yield
4.65%
Market Cap
HK$625.93 billion
Rev. per Employee
HK$5.32M
loading...
/zigman2/quotes/206980083/delayed
CN : China: Shanghai
¥ 5.37
-0.01 -0.19%
Volume: 113.82M
Feb. 21, 2020 3:00p
P/E Ratio
23.54
Dividend Yield
3.12%
Market Cap
¥984.65 billion
Rev. per Employee
¥4.49M
loading...
/zigman2/quotes/203437212/delayed
AU : Australia: Sydney
$ 33.20
-0.05 -0.15%
Volume: 2.00M
Feb. 21, 2020 4:10p
P/E Ratio
64.23
Dividend Yield
4.13%
Market Cap
$31.27 billion
Rev. per Employee
$1.92M
loading...
/zigman2/quotes/206334215/delayed
US : U.S.: OTC
$ 22.09
-0.29 -1.30%
Volume: 38,838
Feb. 20, 2020 3:48p
P/E Ratio
59.88
Dividend Yield
3.94%
Market Cap
$20.72 billion
Rev. per Employee
$1.43M
loading...
/zigman2/quotes/205781039/delayed
AU : Australia: Sydney
$ 7.68
+0.08 +1.05%
Volume: 1.54M
Feb. 21, 2020 4:10p
P/E Ratio
11.45
Dividend Yield
8.46%
Market Cap
$3.45 billion
Rev. per Employee
$1.12M
loading...

Sarah Turner is MarketWatch's bureau chief in Sydney. Varahabhotla Phani Kumar is a reporter in MarketWatch's Hong Kong bureau.

This Story has 0 Comments
Be the first to comment
More News In
Markets

Story Conversation

Commenting FAQs »

Partner Center

World News from MarketWatch

Link to MarketWatch's Slice.