TOKYO (AP) – Asian stocks were generally flat on Wednesday, despite data showing China’s strong economic recovery as worries about the epidemic persisted.
Japan Aponia benchmark Nikkei 225 fell 0.9% to 29178.80. The Australian S & P / ASX 200 increased 0.8% to 6,790.70. South Korea’s Cospin fell by almost 0.1% to 3,066.98. The Hong Kong Hang Seng slipped 0.3% to 28497.12 and the Shanghai Composite fell 0.6% to 3436.93.
A study released on Wednesday showed that factory activity in China resumed in March due to a three-month slowdown as export orders rose. The monthly production index, released by the China Statistics Agency խմբի Industrial Group, rose from 51.6 in February to 51.9 on a 100-point scale, with figures above 50 indicating an expansion in activity.
Chinese production recovered above pre-epidemic levels in most industries, but slowed consumer demand for exports. Restrictions on trade in technology have also hurt exports, economists say.
“Let us reiterate that the technological war is the number one risk facing China in 2021. Chinese companies continue to struggle to buy and sell technology parts, goods, services and services from companies listed as US entities, which may include non-US companies. Said Iris Pang, chief economist at Iris.
“Another risk, which I hope is temporary, is the fragile recovery in export demand that comes from the United States’ socially restrictive measures in Europe, even blockades,” Pang said in a statement.
Shares of Mitsubishi UFJ Financial Group in Tokyo trading fell 3.3% after one of the companies in its group, Mitsubishi UFJ Securities Holdings Co., said it could suffer losses in the US customer, which is estimated $ 300 million. It does not detail.
Shares of Nomura Holdings continued to slide after such an announcement earlier this week, falling 2.5% on Wednesday. The media reports that the latest misfortunes of global financial companies are related to the New York-based Archegos Capital Management hedge fund.
US stock indexes fell on Tuesday as rising Treasury yields put pressure on large tech stocks. Yields after A’s are higher than consumers are more confident than economists expected.
The yield of the 10-year treasury increased to 1.73%. Its jump this year has forced investors to reconsider paying such high prices for very high stocks, particularly tech giants who had big winners at the start of the epidemic.
Health stocks also fell lower, outpacing the profits of banks, industrial stocks and consumer-leaning companies.
The S&P 500 slipped 0.3% to 3,958.55 points, the second consecutive decline. Dow Jones Industrial Average was down 0.3% from the all-time high of 33.066.96. Nasdaq composite decreased by 0.1% to 13,045.39. Russell 2000 increased by 1.7% to 2,195.80.
Investors are waiting for the details of President Biden’s proposals to spend perhaps more than $ 3 trillion on infrastructure, infrastructure and other resources to help the economy.
Despite the pressure on large tech stocks, most professional investors remain optimistic that a wider market can continue to grow. A stronger economy, thanks to the high cost of COVID-19 vaccines և by the US government, should help win over many companies this year, especially those such as banks, energy producers, and industrial companies.
Most of the market shocks reflect that expectation. Investors are shifting money from companies like Amazon ix Netflix, which have taken over the blockchain world, to airlines, automakers և and other companies that are ready to take advantage of the wider reopening.
The price of a barrel of US oil rose by 38 cents to $ 60.93 during the energy trade. Brent crude rose 47 cents to $ 64.61 a barrel.
In foreign exchange trading, the US dollar rose to 110.84 Japanese yen from 110.25 yen. The value of the euro was 1.1708 dollars against 1.1745 dollars.