Asian Markets End Mostly Higher Amid Slightly Easing Trade Worries

CANBERA (Alliance News) - After plunging to multi-month lows on Wednesday, Asian markets bounced ...

Alliance News 13 September, 2018 | 10:06AM
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CANBERA (Alliance News) - After plunging to multi-month lows on Wednesday, Asian markets bounced back to end on a firm note on Thursday, with investors picking up stocks again on reports that a fresh round of talks between the US and China, the world's two largest economies is likely in the near future.

Reports suggest that the US is in the early stages of proposing talks a new round of trade talks with China. The US Treasury Secretary Steven Mnuchin has sent an invitation for talks to senior Chinese officials, proposing a meeting in the next few weeks. The news raised hopes that trade tensions between the world's two largest economies will ease. Only last week, the US President Donald Trump threatened to impose tariffs on all USD500 billion worth of imports from China.

Following Trump's remarks, China was reported to be seeking World Trade Organization permission to impose trade sanctions on Washington.

The Chinese market ended on a firm note, with the Shanghai Composite Index gaining 1.1%, bouncing back from a 32-month low to which it had tumbled on the previous session. Hong Kong's Hang Seng Index ended up 2.5%.

The Japanese stock market ended with its benchmark Nikkei225 adding nearly 1%.

In Japanese economic news, the Cabinet Office said that core machine orders in Japan were up a seasonally adjusted 11% on month in July on Thursday . That beat expectations for a gain of 5.5% following the 8.8% slide in June.

The Bank of Japan said that producer prices in Japan were flat on month in August. That was beneath expectations for an increase of 0.1% following the downwardly revised 0.4% gain in July.

Among other markets in the Asia-Pacific region, New Zealand Indonesia and Malaysia settled with modest gains, while Singapore, Taiwan and South Korea edged up marginally. The Australian market, however, ended notably lower. The Indian markets were closed for a holiday.

Australian benchmark S&P/ASX 200 declined by 0.8%. The broader All Ordinaries Index ended lower by 0.7%. Shares from healthcare, consumer staples and utilities sections were mostly weak.

In economic news, the Australian Bureau of Statistics said that the unemployment rate in Australia came in at a seasonally adjusted 5.3% in August. That was in line with expectations and unchanged from the previous month.

The Australian economy added 44,000 jobs in August, beating forecasts for an increase of 18,000 following the loss of 3,900 jobs in July.

Copyright RTT News/dpa-AFX

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