Chinese stocks continue fall but other Asian markets rise

BEIJING - Chinese stocks sank again Wednesday but other Asian markets rose following Wall Street's gain as investors looked ahead to the U.S.

See Full Article

Federal Reserve's latest statement on interest rates and the economic outlook.

KEEPING SCORE: China's Shanghai Composite Index shed 2.4 per cent to 2,682.65, adding to Tuesday's 6.4 per cent loss. The Chinese benchmark has now given up almost all the gains made since December 2014. Japan's Nikkei 225 rose 2.6 per cent to 17,142.52 and Hong Kong's Hang Seng was up 0.8 per cent at 19,015.18. South Korea's Kospi gained 1.4 per cent to 1,897.87 and India's Sensex advanced 0.4 per cent to 24,520.52. Markets in Taiwan and Southeast Asia also gained. Australia's S&P/ ASX 200 lost 1.2 per cent to 4,946.40 and New Zealand also declined.

WALL STREET: U.S. stocks jumped as the price of oil made another abrupt reversal and rose 4 per cent following a decline the previous day. Chevron and Exxon Mobil made major gains. Strong fourth-quarter results from beleaguered wireless provider Sprint gave telecom stocks a boost. The Dow Jones industrial average jumped 282.01 points, or 1.8 per cent, to 16,167.23. The Standard & Poor's 500 index rose 26.55 points, or 1.4 per cent, to 1,903.63. The Nasdaq composite index added 49.18 points, or 1.1 per cent, to 4,567.67.

FED PLANS: Investors were watching Wednesday's Fed statement for signs of the pace of possible future rate hikes. The U.S. central bank raised rates last month for the first time since the 2008 global crisis, citing improved inflation and other data. But uncertainty over the strength of the dollar, low oil prices and China's outlook have prompted warnings against raising rates too fast.

ANALYST'S QUOTE: Fed officials will probably want to acknowledge the extra uncertainty raised by recent financial and international developments, said Jim O'Sullivan of High Frequency Economics in a report. "But they will likely also want to avoid encouraging the perception that a relatively modest bout of risk aversion in markets or mixed signals from the data will promptly change their outlook in a major way."

ENERGY: Benchmark U.S. crude shed 33 cents to $31.12 per barrel in electronic trading on the New York Mercantile Exchange. The contract soared $1.11 on Tuesday to close at $31.45. Brent crude, the benchmark for international oils, fell 3 cents to $31.77 per barrel in London. It jumped $1.30 on Tuesday to $31.80.

CURRENCIES: The dollar weakened to 118.10 yen from Tuesday's 118.31 yen. The euro inched up to $1.0868 from $1.0864.



Advertisements

Latest Economic News

  • Free speech vs. copyright in Supreme Court battle between Google, B.C. firm

    Economic CTV News
    OTTAWA -- A legal fight between Internet giant Google and a British Columbia technology company unfolds today in the Supreme Court of Canada, where they will duel over competing free speech and copyright infringement issues. Source
  • Asian stocks rise after record day on Wall Street

    Economic CTV News
    HONG KONG - Asian stocks rose Tuesday following another record day on Wall Street as investor optimism bounced back quickly after the Italian referendum. KEEPING SCORE: Japan's benchmark Nikkei 225 index climbed 0.5 per cent to 18,370.83 and South Korea's Kospi jumped 1.2 per cent to 1,985.85. Source
  • Ikea to offer expanded parental leave

    Economic CTV News
    NEW YORK - Ikea's U.S. division is offering longer parental leave to employees who are new parents, following similar overtures from tech companies like Netflix as it strives to keep good workers in an improving job market. Source
  • Indians look for solutions only when toxic pollution soars

    Economic CTV News
    NEW DELHI -- The truth of New Delhi's toxic air finally hit home for Rakhi Singh when her 3-year-old son began to cough constantly early this year. She bought air purifiers for her home. When a thick, grey haze turned the view outside her home into a scene from a bad science fiction film last month, she bought pollution masks. Source
  • China appeals to U.S. to stop disrupting acquisitions

    Economic CTV News
    BEIJING -- China has urged Washington to stop disrupting its foreign corporate acquisitions after President Barack Obama blocked the purchase of a German maker of semiconductor manufacturing equipment as a security risk. The proposed acquisition of Aixtron SE by China's Fujian Grand Chip was "pure market behaviour," a foreign ministry spokesman, Lu Kang, said Monday. Source
  • Families to spend more on groceries, restaurants in 2017: report

    Economic CTV News
    TORONTO - The typical Canadian family will spend up to $420 more on groceries and dining out next year, getting little relief from a recent drop in the cost of food, suggests a new report released Monday. Source
  • Notley aims to sell public on pipeline in B.C. in wake of protests

    Economic CTV News
    VANCOUVER - Some observers say Alberta's premier will have a difficult job trying to convince British Columbians to support a controversial pipeline project between the provinces. Rachel Notley is in B.C. for two days speaking with various media outlets about the Trans Mountain pipeline expansion project, which received federal approval last week. Source
  • Oil industry says carbon pricing coming, pump revenues back into cleaner tech

    Economic CTV News
    OTTAWA -- Canada's petroleum industry lobby group told the federal government this summer that carbon tax revenues from oil and gas should be pumped back into the industry in order to "not only preserve, but enhance" the sector. Source
  • Wages, full-time work sliding for young Canadians, StatsCan says

    Economic CBC News
    Unemployment rates among young Canadians have held relatively steady when compared with the mid-1970s, but the proportion of full-time or permanent jobs has changed sharply over that time, says Statistics Canada. In a study released Monday that looks at changes in the youth labour market from 1976 to 2015, Statistics Canada said the unemployment rate for the 15 to 24 age group averaged 13.2 per cent in 2015, slightly higher than the rate of 12.4 per cent seen in 1976. Source
  • Federal, Ontario governments talking 'investments' with Canada's big automakers

    Economic CTV News
    OTTAWA - The federal and Ontario governments are actively discussing major investments in the big automakers. Following the recent conclusion of labour negotiations, the auto companies are now in talks with the governments about investment opportunities in a sector that is a critical component of the Ontario and Canadian economies. Source