Beijing, China (BBN)-Shares in Asia were mixed despite a sharp fall in US stocks, as fears of an earlier-than-expected Federal Reserve rate rise in the US worried investors.
The benchmark Nikkei 225 reversed earlier losses and moved into positive territory, up 0.48% at 18,755.37 points, reports BBC.
Shares were being given a boost as the yen weakened against the US dollar.
A weaker yen makes Japan’s exports cheaper to buy overseas and gives a boost to company earnings.
The US dollar, which strengthened across the board on Tuesday on the rate-hike expectations, reached an almost eight-year high of 122.04 yen before falling back to 121.15 yen.
The Nikkei was up despite official figures showing Japan’s core machinery orders falling 1.7% in January compared to the previous month, as companies remain concerned about the country’s long-term economic outlook.
Core machinery orders are seen as a measure of capital spending in the coming six to nine months and the latest figure compares with 1.9% increase in January last year.
ELSEWHERE IN ASIA
Hong Kong’s Hang Seng index was flat, down just 0.04% at 23,887.30, while on the mainland, the Shanghai Composite was up 0.82% at 3,312.97.
In Australia, the benchmark S&P/ASX 200 index was down 0.42% at 5,799.70, following the US, while analysts said falling oil and metals prices were likely to worry investors holding energy and resource stocks.
South Korea’s benchmark Kospi index was down 0.48% at 1,975.17 after closing down 0.40% on Tuesday.
Monday, October 18, 2021