Asia stocks uneven as commodities languish
09 December 2015, Nirapad News: Asian stock markets were uneven Wednesday as commodity prices languished, casting uncertainty over the outlook for the world economy.
KEEPING SCORE: Japan’s Nikkei 225 fell 1.1 percent to 19,272.43 and Hong Kong’s Hang Seng lost 0.4 percent to 21,813.39. Australia’s S&P/ASX 200 dropped 0.6 percent to 5,080.50. South Korea’s Kospi gained 0.2 percent to 1,953.40 and the Shanghai Composite Index rose 0.2 percent to 3,476.92. Most markets in Southeast Asia were lower.
COMMODITY LOSSES: Oil prices regained some lost ground but overall commodity markets are still languishing. Iron ore, off 43 percent since the start of 2015, fell again Tuesday, shedding 15 cents to close at $39.25 a metric ton. The trends are raising concerns over slack demand, and over the implications for economies heavily dependent on resource exports.
THE QUOTE: “The strong downward momentum in oil markets stalled,” Rick Spooner of CMC Markets said in a commentary. “However, there was no news to support optimism and with spot iron ore continuing to drift lower, investors are likely to remain nervous about mining and energy stocks today.”
WALL STREET: The Dow Jones industrial average lost 162.51 points, or 0.9 percent, to 17,568 on Tuesday. The S&P 500 gave up 13.48 points, or 0.7 percent, to 2,063.59. The Nasdaq composite slipped 3.6 points, or 0.1 percent, to 5,098.24.
ENERGY: Benchmark U.S. crude oil gained 74 cents to $38.25 a barrel in electronic trading on the New York Mercantile Exchange, after falling 14 cents to $37.51 on Tuesday, near a seven-year low. Brent crude, the international benchmark, rose 59 cents to $40.85 in London.
CURRENCIES: The U.S. dollar was trading at 122.71 yen, down from 122.99 yen in the previous session. The euro rose to $1.0911 from $1.0888.