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Asian Markets Trade Lower led by Hong Kong Plunge

Shares of Chinese smartphone maker Xiaomi plunged on Friday trade after U.S. President Donald Trump’s administration placed the firm on a blacklist of alleged Chinese military companies.

By Friday’s close in Hong Kong, shares of Xiaomi listed in the city dived 10.26%.

The broader Hang Seng Tech index also fell 1.35% to 8,775.54, while the benchmark Hang Seng index was 0.27% higher at 28,573.86.

Hong Kong-listed shares of CNOOC, fell 1.1% — after the U.S. Commerce Department announcing Thursday it had added the firm to its entity list, which essentially restricts firms from receiving specific goods made in the U.S.

Elsewhere, shares in Asia-Pacific were mostly lower on Friday.

South Korea’s Kospi led losses as it fell 2.03% to close at 3,085.90.

Mainland Chinese stocks were mixed on the day: The Shanghai composite was little changed at 3,566.38 while the Shenzhen component dipped 0.255% to 15,031.70.

In Japan, the Nikkei 225 shed 0.62% to close at 28,519.18 while the Topix index slipped 0.89% to finish its trading day at 1,856.61. The S&P/ASX 200 in Australia closed flat at 6,715.40.

MSCI’s broadest index of Asia-Pacific shares dipped 0.42%.

U.S. President-elect Joe Biden on Thursday revealed details of a $1.9 trillion coronavirus rescue package.

Biden’s proposal, called the American Rescue Plan, includes some familiar stimulus measures in the hope of sustaining families and companies till vaccines are widely distributed. Some of the proposed measures include stimulus checks as well as unemployment support.

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 90.409 following an earlier low of 90.223.

The Japanese yen traded at 103.67 per dollar, stronger than levels above 104 against the greenback seen earlier this week. The Australian dollar changed hands at $0.774, having seen levels below $0.77 earlier in the trading week.

Oil prices were lower in the afternoon of Asia trading hours, with international benchmark Brent crude futures down 1.17% to $55.76 per barrel. U.S. crude futures also dipped 0.84% to $53.12 per barrel.