Newscasts - Asia Markets Briefing: The Nikkei falls as the yen strengthens

Foxconn Technology

19/08/2024 10:00

Click the following link to watch video: https://share.newscasts.refinitiv.com/link?entryId=1_7unar7ot&referenceId=1_7unar7ot&pageId=Newscasts
Source: 'Reuters - Business videos'

Description: The Nikkei closed sharply lower; snapping a five day winning run.
Elsewhere, asian stocks rose after global equities enjoyed their best week in
9 months on expectations the U.S. economy would dodge a recession and cooling
inflation would kick off a cycle of interest rate cuts.
Short Link: https://refini.tv/3AvwRro

Video Transcript:

The Nikkei falls as the Yen gains against the Dollar. Welcome to Asia Markets
Briefing. I'm Ramzan Karmali. Well let's kick off by looking at the markets
and the Nikkei closed sharply lower snapping a five-day winning run. Elsewhere
Asian stocks rose after global equities enjoyed their best week in nine months
on expectations the US economy would dodge a recession, and cooling inflation
would kick off a cycle of interest rate cuts. The Yuan and other Asian
currencies gained against the Dollar as investors bet that the US will begin
cutting rates next month. The greenback has been on a yearlong rally. The US
Dollar declined broadly and slipped sharply against the Yen in particular. As
investors bet on a dovish tone emerging in the Federal Reserve's July policy
meeting minutes and Chair Jerome Powell's upcoming speech at Jackson Hole.
Onto the oil markets now and prices eased as fears of weaker demand from top
oil importer China weighed on market sentiment. Tensions in the Middle East
and the escalation of the Russian Ukraine war are underpinning the market.
Japanese retailer Seven & i, which owns the 7-Eleven convenience store, has
received a takeover offer from Canada's Alimentation Couche-Tard. Shares in
Seven & i surged by 22.7% or their daily trading limit of JPY400. That means
its market cap is JPY5.6 trillion or $38 billion. Couche-Tard is valued at
roughly $58 billion, source told Reuters that talks are at a very early stage.
Japan’s national and Tokyo governments are seeking a JPY700 billion or
$4.7 billion valuation for Tokyo Metro. They're preparing to list the subway
operator by the end of October. This would make it the nation’s biggest
IPO in six years, just half the company will be initially sold through the
IPO. Over the weekend, the chairman of Foxconn defended the firm's hiring
practices after New Delhi ordered an investigations. This follows a Reuters
report that the Apple supplier rejects married women from iPhone assembly jobs
in India. Young Liu was speaking at the opening ceremony of a hostel complex
for its workers near Chennai. Also, over the weekend, BYD announced plans to
open a car production plant in Karachi, Pakistan. The Chinese EV maker said it
will also start selling three models through a partnership with Mega Motors.
BYD is the first major new EV entrant in the Pakistan market, where there is a
lack of charging infrastructure. Japan’s core machinery orders rose 2.1%
in June, compared to a month ago. Economists polled by Reuters had expected
just a 1.1% increase. However, on a year-on-year basis, core orders which
exclude volatile numbers from shipping and electric utilities, dropped 1.7%
versus a forecast for a 1.8% rise. And that's it from your Asia Markets
Briefing