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Asian Markets Regained Stability on March 29

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Economic calendar

  • 8:00 AM EST: Germany’s CPI (consumer price index) (March)
  • 8:30 AM EST: US core PCE price index (February)
  • 8:30 AM EST: US initial jobless claims
  • 8:30 AM EST: US PCE prices
  • 8:30 AM EST: US personal spending (February)
  • 9:45 AM EST: US Chicago PMI (purchasing managers’ index) (March)
  • 10:00 AM EST: US Michigan consumer expectations (March)
  • 1:00 PM EST: US Baker Hughes oil rig count
  • 1:00 PM EST: FOMC member Harker speaks
  • 7:01 PM EST: United Kingdom GfK Consumer Confidence
  • 7:30 PM EST: Japan’s household spending
  • 7:30 PM EST: Japan’s Tokyo core CPI (March)
  • 7:30 PM EST: Japan’s industrial production (February)
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China

After declining for two consecutive trading weeks, China’s Shanghai Composite Index started this week on a weaker note and consolidated at six-week low price levels. On March 29, the Shanghai Composite Index opened the day higher and rose.

On March 29, 2018, the market sentiment was weak in the early hours in China’s markets due to increased attention on US taxes on Chinese goods. However, the sentiment improved in the afternoon session. The market moved higher due to bargain hunting. Increased buying in consumer and real estate stocks, which declined substantially this week, added strength to the market. The market is looking forward to March’s China manufacturing and non-manufacturing PMI data. The data are scheduled to be released on March 30.

The Shanghai Composite Index gained 1.2% and closed the day at 3,160.53 on March 29. The SPDR S&P China (GXC) declined 1.0% on Wednesday.

Hong Kong

After a sharp decline on Wednesday, Hong Kong’s Hang Seng Index opened higher on March 29 and traded with strength in the morning session. The market lost strength as the day progressed amid weakness in the technology sector. Although the China-US trade war concerns eased to some extent, the sentiment is still weak and weighed on the Hang Seng Index. On March 29, the Hang Seng Index gained 0.24% and closed the day at 30,093.38. The iShares MSCI Hong Kong (EWH) fell 0.6% on Wednesday.

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Japan

After pulling back on March 28, Japan’s Nikkei Index started Thursday with an improved market sentiment. Strength in the chemical, power, and gas and water sectors and the improved risk appetite supported the Nikkei Index. Weakness in the technology sector limited the market gains. The market is looking forward to a string of economic releases scheduled for today including industrial production, the unemployment rate, and the CPI.

The Nikkei Index gained 0.61% on March 29 and closed the day at 21,159.08. The iShares MSCI Japan (EWJ) gained 1.1% on March 28.

Next, we’ll discuss how European markets performed in the early hours on March 29.

China

After declining for two consecutive trading weeks, China’s Shanghai Composite Index started this week on a weaker note and consolidated at six-week low price levels. On March 29, the Shanghai Composite Index opened the day higher and rose.

On March 29, 2018, the market sentiment was weak in the early hours in China’s markets due to increased attention on US taxes on Chinese goods. However, the sentiment improved in the afternoon session. The market moved higher due to bargain hunting. Increased buying in consumer and real estate stocks, which declined substantially this week, added strength to the market. The market is looking forward to March’s China manufacturing and non-manufacturing PMI data. The data are scheduled to be released on March 30.

The Shanghai Composite Index gained 1.2% and closed the day at 3,160.53 on March 29. The SPDR S&P China (GXC) declined 1.0% on Wednesday.

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Hong Kong

After a sharp decline on Wednesday, Hong Kong’s Hang Seng Index opened higher on March 29 and traded with strength in the morning session. The market lost strength as the day progressed amid weakness in the technology sector. Although the China-US trade war concerns eased to some extent, the sentiment is still weak and weighed on the Hang Seng Index. On March 29, the Hang Seng Index gained 0.24% and closed the day at 30,093.38. The iShares MSCI Hong Kong (EWH) fell 0.6% on Wednesday.

Japan

After pulling back on March 28, Japan’s Nikkei Index started Thursday with an improved market sentiment. Strength in the chemical, power, and gas and water sectors and the improved risk appetite supported the Nikkei Index. Weakness in the technology sector limited the market gains. The market is looking forward to a string of economic releases scheduled for today including industrial production, the unemployment rate, and the CPI.

The Nikkei Index gained 0.61% on March 29 and closed the day at 21,159.08. The iShares MSCI Japan (EWJ) gained 1.1% on March 28.

Next, we’ll discuss how European markets performed in the early hours on March 29.

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