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Aug. 6, 2019, 11:19 p.m. EDT

Asian markets mixed after China moves to stabilize yuan

Nikkei, Hang Seng down less than 1% each

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By Marketwatch and Associated Press


Reuters
China’s central bank set the daily reference point for the yuan a bit weaker than expected Wednesday.

Asian markets were mixed in early trading Wednesday, after China’s central bank moved to ease fears of a full-blown currency war.

The People’s Bank of China early Wednesday set the daily reference point for the yuan at 6.9996 per dollar, a bit weaker than expected. The currency typically trades up to 2% higher or lower than that point. Trade tensions escalated Monday when the yuan passed 7 per U.S. dollar, crossing a “line in the sand” that sparked a global stock selloff and spurred the U.S. Treasury Department to label China a currency manipulator.

Stocks on Wall Street recovered Tuesday after suffering their worst day of the year on Monday. Market movements in Asia on Wednesday were significantly more muted than the previous two trading days.

Japan’s Nikkei /zigman2/quotes/210597971/delayed JP:NIK +0.18%   fell 0.8%, and Hong Kong’s Hang Seng Index /zigman2/quotes/210598030/delayed HK:HSI +1.81%   retreated 0.7%. The Shanghai Composite /zigman2/quotes/210598127/delayed CN:SHCOMP +1.10%   was down 0.2 while the smaller-cap Shenzhen Composite /zigman2/quotes/210598015/delayed CN:399106 +0.34%  gave up modest early gains and retreated 0.2%. South Korea’s Kospi /zigman2/quotes/210598069/delayed KR:180721 +0.44%   slipped 0.7%, while benchmark indexes in Taiwan /zigman2/quotes/210597977/delayed TW:Y9999 +0.76%  , Singapore /zigman2/quotes/210597985/delayed SG:STI +0.50%   and Indonesia /zigman2/quotes/210597981/delayed ID:JAKIDX +0.15%   were mixed. Australia’s S&P/ASX 200 /zigman2/quotes/210598100/delayed AU:XJO +0.67%   gained 0.3%, and New Zealand’s NZX 50 /zigman2/quotes/211587880/delayed NZ:NZ50GR -0.09%   rose 0.9% after New Zealand’s central bank cut its benchmark interest rate by a half-percentage point to an all-time low of 1% as it forecast tougher economic conditions ahead.

Among individual stocks, Yahoo Japan /zigman2/quotes/207641152/delayed JP:4689 -0.96%   rose in Tokyo trading, while Honda Motor /zigman2/quotes/200490352/delayed JP:7267 +2.87%   and Japan Steel /zigman2/quotes/207991538/delayed JP:5631 -0.70%   fell. In Hong Kong, China Overseas Land & Investment /zigman2/quotes/205731176/delayed HK:688 +1.36%   gained while China Life Insurance /zigman2/quotes/202359856/delayed HK:2628 +3.21%   and Sands China /zigman2/quotes/207609245/delayed HK:1928 +6.46%   retreated. LG Electronics /zigman2/quotes/209966407/delayed KR:066570 +1.01%  fell while SK Hynix /zigman2/quotes/206420319/delayed KR:000660 +0.35%   gained. Commonwealth Bank /zigman2/quotes/200638713/delayed AU:CBA +0.84%   and Beach Energy /zigman2/quotes/200513631/delayed AU:BPT -0.31%   declined in Australia.

The S&P 500 index /zigman2/quotes/210599714/realtime SPX -0.81%   rose 37.03 points, or 1.3%, to 2,881.77. The index dropped 3% on Monday, its worst loss since December. The Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA -0.46%  climbed 311.78 points, or 1.2%, to 26,029.52. The Nasdaq composite /zigman2/quotes/210598365/realtime COMP -1.69%   gained 107.23 points, or 1.4%, to 7,833.27.

Global investors have grown nervous lately about the possible impact that a trade war between the U.S. and China could have on the economy and corporate profits.

But China’s decision to allow its currency to stabilize Tuesday suggests Beijing might hold off from aggressively allowing the yuan to weaken as a way to respond to U.S. tariffs on Chinese goods.

“Markets have gone full circle again hoping for the best while preparing for the worst where even the tiniest gestures could see investors could respond more positively than warranted given how emotionally invested market participants are,” said Stephen Innes, managing partner at VM Markets in Singapore.

Benchmark crude oil   lost 12 cents to $53.51 a barrel. It fell $1.06 to $53.63 a barrel on Tuesday. Brent crude oil  , the international standard, fell 5 cents to close at $58.89 a barrel.

The dollar /zigman2/quotes/210561789/realtime/sampled USDJPY +0.1425%   rose to 106.10 Japanese yen from 106.40 yen on Tuesday.

/zigman2/quotes/210597971/delayed
JP : Nikkei
29,459.71
+51.54 +0.18%
Volume: 0.00
March 3, 2021 11:30a
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/zigman2/quotes/210598030/delayed
HK : Hong Kong Exchange
29,622.39
+526.53 +1.81%
Volume: 963,471
March 3, 2021 10:55a
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/zigman2/quotes/210598127/delayed
CN : China: Shanghai
3,547.35
+38.76 +1.10%
Volume: 17.05B
March 3, 2021 10:55a
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/zigman2/quotes/210598015/delayed
CN : Shenhzen Stock Exchange
2,340.69
+7.93 +0.34%
Volume: 17.47B
March 3, 2021 10:55a
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/zigman2/quotes/210598069/delayed
KR : Korea Exchange
3,057.26
+13.39 +0.44%
Volume: 1.33M
March 3, 2021 11:50a
loading...
/zigman2/quotes/210597977/delayed
TW : Taiwan Stock Exchange
16,067.38
+120.50 +0.76%
Volume: 0.00
March 3, 2021 10:50a
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/zigman2/quotes/210597985/delayed
SG : Singapore: SGX
2,988.81
+14.94 +0.50%
Volume: 0.00
March 3, 2021 10:55a
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/zigman2/quotes/210597981/delayed
ID : Indonesia Stock Exchange
6,368.88
+9.68 +0.15%
Volume: 0.00
March 3, 2021 10:00a
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/zigman2/quotes/210598100/delayed
AU : S&P ASX
6,807.90
+45.60 +0.67%
Volume: 284,942
March 3, 2021 1:50p
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/zigman2/quotes/211587880/delayed
NZ : New Zealand: NZX
12,333.03
-11.46 -0.09%
Volume: 0.00
March 3, 2021 3:50p
loading...
/zigman2/quotes/207641152/delayed
JP : Japan: Tokyo
¥ 630.20
-6.10 -0.96%
Volume: 15.40M
March 3, 2021 11:30a
P/E Ratio
40.85
Dividend Yield
0.88%
Market Cap
¥3184.57 billion
Rev. per Employee
¥74.32M
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/zigman2/quotes/200490352/delayed
JP : Japan: Tokyo
¥ 3,080.00
+86.00 +2.87%
Volume: 3.48M
March 3, 2021 11:30a
P/E Ratio
12.82
Dividend Yield
2.66%
Market Cap
¥5211.02 billion
Rev. per Employee
¥68.28M
loading...
/zigman2/quotes/207991538/delayed
JP : Japan: Tokyo
¥ 2,714.00
-19.00 -0.70%
Volume: 222,000
March 3, 2021 11:29a
P/E Ratio
25.09
Dividend Yield
1.29%
Market Cap
¥206.91 billion
Rev. per Employee
¥40.78M
loading...
/zigman2/quotes/205731176/delayed
HK : Hong Kong
HK$ 19.40
+0.26 +1.36%
Volume: 5.07M
March 3, 2021 10:55a
P/E Ratio
N/A
Dividend Yield
5.26%
Market Cap
HK$213.44 billion
Rev. per Employee
HK$30.79M
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/zigman2/quotes/202359856/delayed
HK : Hong Kong
HK$ 16.70
+0.52 +3.21%
Volume: 18.94M
March 3, 2021 10:55a
P/E Ratio
8.32
Dividend Yield
4.79%
Market Cap
HK$947.67 billion
Rev. per Employee
HK$7.83M
loading...
/zigman2/quotes/207609245/delayed
HK : Hong Kong
HK$ 37.90
+2.30 +6.46%
Volume: 7.76M
March 3, 2021 10:55a
P/E Ratio
N/A
Dividend Yield
0.00%
Market Cap
HK$296.50 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/209966407/delayed
KR : S. Korea: KRX
150,500
+1,500 +1.01%
Volume: 580,813
March 3, 2021 11:50a
P/E Ratio
32.55
Dividend Yield
0.80%
Market Cap
₩25089.35 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/206420319/delayed
KR : S. Korea: KRX
145,000
+500.00 +0.35%
Volume: 3.39M
March 3, 2021 11:50a
P/E Ratio
20.86
Dividend Yield
0.81%
Market Cap
₩96786.26 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/200638713/delayed
AU : Australia: Sydney
$ 85.20
+0.71 +0.84%
Volume: 894,697
March 3, 2021 1:50p
P/E Ratio
18.97
Dividend Yield
2.91%
Market Cap
$149.07 billion
Rev. per Employee
$917,769
loading...
/zigman2/quotes/200513631/delayed
AU : Australia: Sydney
$ 1.63
-0.0050 -0.31%
Volume: 2.92M
March 3, 2021 1:50p
P/E Ratio
10.62
Dividend Yield
1.23%
Market Cap
$3.84 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,870.29
-31.53 -0.81%
Volume: 2.28B
March 2, 2021 5:08p
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/zigman2/quotes/210598065/realtime
US : Dow Jones Global
31,391.52
-143.99 -0.46%
Volume: 341.28M
March 2, 2021 5:08p
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/zigman2/quotes/210598365/realtime
US : U.S.: Nasdaq
13,358.79
-230.04 -1.69%
Volume: 4.37M
March 2, 2021 5:16p
loading...
/zigman2/quotes/210561789/realtime/sampled
US : Tullett Prebon
106.8380
+0.1520 +0.1425%
Volume: 0.0000
March 2, 2021 10:10p
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