Japan fared well today amidst the bad performances by the rest of the Asian stocks. In today’s trading Japanese shares reversed losses after the yen weakened and the country’s Topix erased losses as the yen fell against all of its 16 major counterparts. It is expected that a weaker yen will enhance the value of overseas earnings at Japanese companies.
Whereas Toyota gained 2.5 percent to 6,200 yen, Geely dropped 3.6 percent to HK$4.25; this all happened when a unit of Goldman Sachs raised $309 million and sold 578 million shares of the company at HK$4.15 apiece. Reversing earlier gains, WorleyParsons lost 3.1 percent to A$22.055. This happened due to its declaration that fiscal 2014 first-half earnings may fall.
Another bank to fall in trading was Mizuho Financial Group Inc. The country’s third-largest bank by market share dropped 1.5 percent to 203 yen due to reports that a former top executive knew that the bank was lending to criminal groups three years ago. The bank may face trouble due to the shady record and that troubled investors.
It was a better trading day for Toyota Motor Corp., Asia’s biggest auto manufacturer. The company gained 2.5 percent in today’s trading though it fell 0.7 percent earlier. However, it was not so good for WorleyParsons Ltd. which lost 3.1 percent in Sydney due to its declaration that it expects fiscal first-half earnings to decline.
Like Mizuho Financial Group Inc., SoftBank Corp. fell 5.1 percent in Tokyo. This happened due to a decision by Citigroup Inc. that it is cutting the mobile carrier’s equity rating. While the MSCI Asia Pacific ex-Japan Index slid 0.3 percent to 465.36 as of 1:53 p.m., the broader regional gauge rose 0.1 percent to 138.65.
Whereas Australia’s S&P/ASX 200 Index added 0.1 percent, the neighboring New Zealand’s NZX 50 Index fell 0.6 percent. Another loser was Hong Kong’s Hang Seng Index (HSI) which fell 0.6 percent today. However, Singapore’s Straits Times Index gained 0.3 percent. Whereas Taiwan’s Taiex index dropped 0.3 percent, The Shanghai Composite Index also did not fare well and fell 0.1 percent.
India Stocks Fall
Following the trend in the Asian market, Indian stocks fell today. Major losers are banks and power utilities. Investors believe that it is happening due to below expected economic growth predictions by the International Monetary Fund. IMF has said that India will be growing below 4%. It revised it at 3.8 percent, from a July prediction of 5.6 percent, and its 2014 prediction to 5.1 percent from 6.3 percent.
To contact the reporter of this story: Jonathan millet at email@example.com