Newscasts - Asia Markets Briefing: China stocks party starts to fizzle as markets wait on stimulus

LG Chem

08/10/2024 10:00

Click the following link to watch video: https://share.newscasts.refinitiv.com/link?entryId=1_tglhv0ov&referenceId=1_tglhv0ov&pageId=Newscasts
Source: 'Reuters - Business videos'

Description: China's stocks rally began losing steam on Tuesday: stocks opened
10% higher in their return from the Golden Week holiday but then pared gains.
Hong Kong shares slumped as much as 9.45%, as officials disappointed markets
by providing few specific details on plans to bolster China's slowing economy.
Short Link: https://refini.tv/3Niy5cU

Video Transcript:

China stocks party starts to fizzle as markets weight on stimulus. Welcome to
Asia Markets Briefing. I'm Ludovica Brignola. China stocks rally began losing
steam on Tuesday. Stocks opened 10% higher in their return from the Golden
Week holiday, but then paired gains and were up 3%. Hong Kong shares slumped
as much as 7.4%, all that as officials disappointed markets by providing few
specific details on plans to bolster China’s slowing economy. Japanese
stocks were also in the red. In Japan, household spending fell 1.9%
year-on-year in August, a softer fall compared to the 2.6% decline expected by
Reuters, but the drop is the fastest pace have declined since January.
Japan’s inflation adjusted wages also fell in August. However, analysts
say underlying trends point to a gradual recovery in pay and consumption and
should support the central bank's plans for additional rate hikes. Let's take
a look at the biggest winners and losers. Samsung Electronics shares fell as
it warned its third quarter profit would come in below market expectations and
even apologized for the disappointing performance. The tech giant was for
decades the largest memory chip maker in the world but it's now lagging its
rivals in supplying high end chips to NVIDIA in the booming AI market. And
meanwhile, Foxconn is building the world's largest manufacturing facility,
making the NVIDIA GB200 chip as an executive at the company said to meet the
awfully huge demand for Nvidia's Blackwell Platform, Apple’s biggest
assembler has not specified whether factory will be located. South Korea's LG
Energy solution has signed a deal to supply electric vehicle batteries to a
Mercedes Benz affiliate in North America and other regions, sending its shares
soaring on the cos beat. LG Energy already supplies batteries to Tesla,
General Motors and Hyundai Motor. A look at tomorrow and the Reserve Bank of
India is likely to keep rates unchanged, but it might switch to a neutral
stance for the first time since June 2019 from its current hawkish view.
Tomorrow's meeting will be the first under a new policy committee. Oil prices
fell more than $1.00 a barrel as traders took profits from a rally in the
previous session. The market rose to its highest level in over a month on
fears the Middle East could be on the brink of a region wide war. That's it
from your Asia Markets Briefing