Asian stocks tumble as central banks look to ease interest rates cuts

SEOUL, Korea, Republic Of - Asian stock markets were mostly weaker on Thursday after Wall Street fell for a third day and New Zealand's central bank signalled it had finished cutting interest rates.

See Full Article

KEEPING SCORE: Japan's Nikkei 225 fell 1.3 per cent to 19,049.66 and South Korea's Kospi was down 0.1 per cent to 1,946.13. Australia's S&P/ASX 200 shed 1.6 per cent to 5,001.10. Hong Kong's Hang Seng slipped 0.2 per cent to 21,771.30 but China's Shanghai Composite index gained 0.2 per cent to 3,477.20. Stocks in New Zealand, Taiwan and Singapore were lower.

CENTRAL BANKS: New Zealand's central bank cut interest rates for the fourth time in six months by a quarter percentage point to 2.5 per cent. But it also signalled that it is not planning further cuts as inflation is expected to rise. Analysts said it was the latest sign that the central banks in developed countries, from Europe to Japan and the United States, are done with monetary easing.

ANALYST'S TAKE: "The next conclusion to be drawn is that central bank easing globally is at an end," said Evan Lucas, a market strategist at IG in Melbourne, Australia. "Are we now at that point where central banks have steered the global economy though the post-GFC era?"

DATA WATCH: Later in the day, the U.S. Labor Department reports on the number of people who applied for unemployment benefits last week. That will give investors the latest update on the U.S. job market a week before a Federal Reserve meeting that is expected to raise interest rates from a record low. In last Thursday's report, more people applied for U.S. unemployment benefits, but the levels remain near historic lows that indicate a healthy job market.

WALL STREET: U.S. stock markets closed lower for a third session on Wednesday, as losses in technology shares weighed. The Dow index lost 75.70 points, or 0.4 per cent, to 17,492.30. The S&P 500 gave up 15.97 points, or 0.8 per cent, to 2,047.62. The Nasdaq composite dropped 75.38 points, or 1.5 per cent, to 5,022.87.

ENERGY: Oil recovered moderately from the previous session but it was still lower than the closing price on Feb. 13, 2009 when the global economy was deep in crisis. Benchmark U.S. crude was up 25 cents at $37.40 a barrel in electronic trading on the New York Mercantile Exchange, after falling 35 cents to close at $37.16 in New York on Wednesday. Brent crude, the international benchmark, rose 31 cents to $40.42 in London. On Wednesday, the International Energy Agency's chief said he expected oil prices to remain low next year.

CURRENCIES: The dollar rose to 121.64 yen from 121.59 in the previous trading session. The euro fell to $1.1007 from $1.1023.



Advertisements

Latest Economic News

  • Poker tables keep decreasing on Las Vegas casino floors

    Economic CTV News
    LAS VEGAS -- When the Monte Carlo closes its eight-table poker room in about a month as part of a $450 million overhaul, the Las Vegas Strip will have lost nearly a quarter of the tables it had a decade ago. Source
  • Las Vegas casinos continue to close poker rooms

    Economic CTV News
    LAS VEGAS -- When the Monte Carlo casino closes its eight-table poker room in about a month as part of a $450 million overhaul, the Las Vegas Strip will be down nearly a quarter of the tables it had a decade ago. Source
  • Google's YouTube loses more advertisers over offensive videos

    Economic CBC News
    An advertising boycott of YouTube is broadening, a sign that big-spending companies doubt Google's ability to prevent marketing campaigns from appearing alongside repugnant videos. PepsiCo, Walmart Stores and Starbucks on Friday confirmed that they have also suspended their advertising on YouTube after the Wall Street Journal found Google's automated programs placed their brands on five videos containing racist content. Source
  • National contest tries to convince students that lucrative sales jobs are 'sexy'

    Economic CBC News
    Sonya Meloff wants everyone to know that a career in sales is sexy. Not sleazy. "I think that sales is a really sexy job," says the founder of the Toronto's Sales Talent Agency. "You get to be at the forefront of representing a company, you're the one that gets to talk to the customers. Source
  • Report examines grim Bangladesh leather trade, links to West

    Economic CTV News
    DHAKA, Bangladesh -- Hazardous, heavily polluting tanneries, with workers as young as 14, supplied leather to companies that make shoes and handbags for a host of Western brands, a non-profit group that investigates supply chains says. Source
  • Notley: Keystone XL doesn't lessen need for Energy East, Trans Mountain

    Economic CTV News
    CALGARY -- Alberta Premier Rachel Notley says U.S. approval of the Keystone XL pipeline does not lessen the need for two other controversial proposals within Canada's borders. U.S. President Donald Trump announced the green light for the line more than eight years after Calgary-based TransCanada first applied for a cross-border permit. Source
  • Trump's Keystone XL decision sets up new fight in Nebraska

    Economic CTV News
    LINCOLN, Neb. -- U.S. President Donald Trump may have approved a federal permit for the Keystone XL pipeline, but the fight is far from over in Nebraska, the one state in its path that has yet to approve the project. Source
  • Toronto stock index extends rally, Wall Street mixed after 'Trumpcare' pulled

    Economic CBC News
    Specialist Stephen Naughton, left, and trader Michael Milano work on the floor of the New York Stock Exchange on Wednesday. North American equity markets finished mixed on Friday after U.S. Republicans withdrew their bill to overhaul Obamacare. Source
  • PepsiCo, Wal-Mart, Starbucks join YouTube ad boycott in U.S.

    Economic CTV News
    SAN FRANCISCO -- An advertising boycott of YouTube is broadening in a sign that big companies doubt Google's ability to prevent marketing campaigns from appearing alongside repugnant videos. PepsiCo, Wal-Mart Stores and Starbucks on Friday confirmed that they have also suspended their advertising on YouTube after the Wall Street Journal found Google's automated programs placed their brands on five videos containing racist content. Source
  • Debate renewed over economic benefits of Keystone XL pipeline

    Economic CTV News
    U.S. President Donald Trump is calling his administration's approval of the Keystone XL pipeline a new era for American energy policy. As expected, the State Department reversed a decision by the Obama administration and favoured energy development over environmentalists' objections to the pipeline, which will carry thick Canadian crude oil to Nebraska, where it can flow on to refineries along the Gulf Coast. Source