Dispute between China and the USA weighs on stock exchanges

Hong Kong financial markets

A woman wearing a face mask walks past a bank electronic board showing the Hong Kong Stock Exchange stock index.

(Photo: dpa)

Hongkong, New York Tensions between China and the US weigh on optimism on Asian stock exchanges sparked by the technology-driven rally on Wall Street. The US government announced on Monday that it would further tighten restrictions on Huawei to restrict access to commercially available chips. “We have seen some technical strength again with semiconductors,” said Thomas Hayes, chairman of Great Hill Capital, of the US rally.

The Nikkei index, which comprises 225 values, was 0.5 percent lower at 22,972 points. The broader Topix index fell 0.1 percent and stood at 1609 points.

The Shanghai stock exchange was up 0.4 percent. The index of the most important companies in Shanghai and Shenzen gained 0.1 percent. The MSCI index for Asian stocks outside of Japan rose 0.7 percent.

The US dollar fell against most currencies as a result of disappointing production and mortgage data, the analyst wrote Commonwealth Bank of Australia, Joseph Capurso, in a note.

In Asian foreign exchange trading, the dollar lost 0.3 percent to 105.67 yen and stagnated at 6.9309 yuan. In relation to the Swiss currency, it was quoted 0.1 percent lower at 0.9053 francs. At the same time, the euro rose 0.1 percent to 1.1886 dollars and was barely changed at 1.0762 francs. The pound sterling gained 0.2 percent to $ 1.3129.

More: Chinese tech companies are Donald Trump’s new enemy.


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