China trade data, Singapore GDP, currencies, in focus


Shares in Asia increased in Friday afternoon trading, as data showed that Singapore's economy contracted much more than expected in the second quarter.

The Nikkei 225 in Japan rose 0.12%, while the Topix index fell 0.14%. In South Korea, the Kospi advanced 0.24%.

Australia's S & P / ASX 200 index fell slightly as most sectors fell. In general, the broader MSCI index of Asia Pacific shares outside Japan gained 0.11%.

Shares in mainland China recovered from their previous slip to rise at the end of the morning session, with the Shanghai compound rising 0.46% and the Shenzhen compound 0.478% higher. The Shenzhen component also gained 0.66%, while the Hang Seng index of Hong Kong rose 0.5%.

Investors will be waiting for the release of China's trade data for June to badess the impact of Beijing's trade war with Washington.

Graph of indexes of the Asia-Pacific market

Singapore is flirting with the recession now & # 39;

Singapore's gross domestic product fell 3.4% in the April-June period compared to the previous quarter on an annualized basis adjusted for seasonality, according to preliminary data released on Friday. That largely omitted expectations of a 0.1% quarter-on-quarter increase in a Reuters poll.

Compared to the previous year, GDP grew 0.1% in the second quarter, the slowest year-on-year growth since the second quarter of 2009, also lower than the forecast of a 1.1% expansion in a Reuters poll.

Despite the poorer data than expected, Singapore markets recovered from their previous decline, with the Straits Times index trading 0.23% higher in the morning.

"This is pretty bad," Sian Fenner, Asia's chief economist at Oxford Economics, told CNBC's "Squawk Box" on Friday. "We were looking for a negative contraction (quarter to quarter), since we saw that the manufacturing figures were so weak, that the export figures also contracted, but this was a great lack."

"Singapore is … really flirting with the recession now," Fenner said.

Closing record for Dow

During the night on Wall Street, the Dow of 30 shares crossed the 27,000 for the first time in history, adding 227.88 points to close at 27,088.08. The S & P 500 also recorded a record close, increasing 0.2% to 2,999.91. The Nasdaq Composite, on the other hand, fell 0.1% to end its day of operations in the state at 8,196.04.

The moves came amid rising expectations that the US Federal Reserve would cut interest rates at its next monetary policy meeting in July. Market expectations for a rate cut at the end of this month are 100%, according to the FedWatch tool of the CME Group.

Coins and oil

The US dollar index, which tracks the dollar against a basket of peers, was at 96,933 after hitting a previous high of 97,116.

The Japanese yen traded at 108.40 against the dollar after weakening from levels below 108.0 in the previous session, while the Australian dollar changed hands to $ 0.6994 after trading at less than $ 0.695 earlier in the week.

Oil prices rose on the afternoon of Asian business hours, with the Brent international benchmark in futures contracts adding 0.62% to $ 66.93 per barrel and US crude futures. UU Going up 0.56% to $ 60.54 per barrel.

Here are some of the data that will be published today:

  • Singapore: May retail sales at 1:00 p.m. HK / SIN
  • India: industrial production and inflation at 8:00 p.m. HK / SIN
  • China: New loans and growth of outstanding loans

– Reuters and Fred Imbert of CNBC contributed to this report.

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