Asian stock markets were mixed on the 18th as China’s economic indicators exceeded expectations but failed to improve investor sentiment significantly.
According to Bloomberg News, Japan’s Nikkei 225 average stock price (Nikkei index, 0.01%) and Korea’s KOSPI (0.10%) and Australia’s S&P/ASX 200 index (0.30%) closed slightly higher.
On the other hand, the Chinese stock market is showing weakness.
As of 3:40 p.m. Korean time, the Shanghai Composite Index (-0.72%) and the Shenzhen Component Index (-1.36%) and the CSI 300 Index (-0.74%) consisting of the top 300 stocks in market capitalization on the Shanghai and Shenzhen stock markets are all falling.
Hong Kong’s Hang Seng Index (-0.16%) also fell, and Taiwan’s Jasang Index also fell 1.21%.
Bloomberg analyzed that better-than-expected Chinese economic indicators failed to dispel concerns about China’s economic outlook, and intensifying tensions in the Middle East dampened investor sentiment.
China reported a 4.9% GDP growth in the third quarter of this year, exceeding the 4.4% average forecast compiled by Reuters.
In addition, retail sales improved more than expected last month and urban unemployment fell to its lowest level in about two years.
“I don’t think the market is confident about growth with just a single round of macroeconomic data,” said Shin Yao-eung, director of investment in Asian stock market at investment firm abrdn. “Investors are still waiting for corporate earnings announcements and the Chinese government’s stimulus measures.”
The Chinese stock market fell, but the yuan exchange rate fell (the yuan strengthened) due to the momentum of economic growth.
The dollar-yuan exchange rate was slightly lower in the 7.314 yuan range later in the day.
The South Korean won closed at 1,349.6 won against the U.S. dollar, down 4.0 won, while the Japanese yen has been hovering around 149 yen per dollar for four consecutive days.
