Asian Stocks Decline Following Wall Street’s Mixed Performance
Sophia Cruz•Wednesday, September 11, 2024•1 min read
In today’s trading, the Asian markets experienced another downturn as investors analyzed key economic data from the US, Japan, and China. US nonfarm payrolls increased by only 142,000 in August, missing the expected 161,000, while the unemployment rate stayed at 4.2%.
This weaker-than-expected jobs data created concerns about the US labor market, which weighed on global markets.
In Japan, GDP for the second quarter grew by 2.9%, falling short of the anticipated 3.2%. Tokyo’s Nikkei 225 went down by 1.5% closing at 35,619.77. The yen surged to its highest level nine months after the Bank of Japan official indicated that policymakers would continue their tightening strategy, provided that the economy and inflation meet expectations.
With the ongoing economic challenges and recent government crackdowns across various sectors, the Mainland and Hong Kong stock markets were significantly impacted, leading to years of underperformance.
China reported a year-on-year inflation increase of 0.6%, slightly lower than expected, continuing to signal economic struggles. Major Chinese indices also experienced declines with the Shanghai Composite slipping by nearly 1.0% closing at 2,718.21. On the other hand, Shenzhen Component rose 0.4% to 8,107 in mixed trade.
China’s vehicle sales also fell 5.0% year-over-year to 2.45 million units in August 2024, a slight improvement from the 5.2% drop recorded in the previous month.
Hong Kong’s Hang Seng index dropped by 1.53% in early trading, following a modest gain the previous day, as broad-based losses across all sectors weighed heavily on the market.
Australia’s ASX 200 fell by 0.37%, reversing the previous sessions’ gains after the Reserve Bank of Australia Assistant Governor Sarah Hunter’s remarks.
In South Korea, Kospi dropped 0.7% closing at 2,505.87, following data that showed the seasonally adjusted unemployment rate decreased to 2.4% in August, down from 2.5% in July, marking the lowest rate in a year of unemployment.
Sophia is an experienced writer, reporter and newsdesk member, mostly on the financial sectors. For the past 5 years Sophia has covered a wide variety of topics such as the financial markets, economics, technology, fin-tech and trading. Sophia has been a part of the FX Leaders team since 2017 and works on producing valuable content and information for traders of all levels of experience.