Asian stocks mostly weaker as oil slips

SEOUL, Korea, Republic Of - Asian stock markets were mostly weaker on Tuesday as the price of crude oil turned lower following a surge overnight.

See Full Article

KEEPING SCORE: Japan's Nikkei 225 drifted 0.2 per cent lower to 16,074.71 while South Korea's Kospi was 0.2 per cent lower to 1,912.71. Hong Kong's Hang Seng index fell 0.6 per cent to 19,346.46 and Shanghai Composite Index in mainland China dropped 1.3 per cent to 2,890.29. Australia's S&P/ASX 200 was down 0.4 per cent to 4,983.90. Stocks in Singapore and the Philippines were higher but stocks in Taiwan and Indonesia were lower.

ENERGY FORECAST: On Monday, the International Energy Agency said it does not expect oil prices to recover significantly until 2017, but it expects slower growth in global supplies. Fatih Birol, executive director of the IEA, said oil would rise gradually to about $80 a barrel. The comments by the group of major oil-importing countries triggered a surge in crude oil prices and rallies in global stock markets overnight but they could not be sustained.

ANALYST'S TAKE: Despite the forecast that the glut of crude will be gradually reduced, "we remain cautious at this juncture, since so far, Iran and Iraq remained non-committal in terms of production cuts though both countries welcomed the initiative," Mizuho Bank said in a daily commentary.

OIL: Benchmark U.S. crude lost 53 cents or 1.6 per cent at $32.86 per barrel in New York. On Monday the contract jumped $1.56 to close at $33.39 a barrel. Brent crude, which is used to price international oils, fell 50 cents to $34.19 per barrel in London.

WALL STREET: U.S. stocks jumped on Monday as a surge in the price of oil lifted energy stocks. The Dow Jones industrial average gained 1.4 per cent to 16,620.66. The Standard & Poor's 500 index climbed 1.5 per cent to 1,945.50. The Nasdaq composite index added 1.5 per cent to 4,570.61.

CURRENCIES: The dollar fell to 112.10 yen from 112.89 yen while the euro rose to $1.105 from $1.103.



Advertisements

Latest Economic News

  • Montreal’s Luxury Retreats said to be Airbnb’s biggest acquisition to date

    Economic CTV News
    Online hospitality marketplace Airbnb has acquired Montreal-based posh vacation rental service Luxury Retreats in an effort to broaden its appeal to customers looking for more than a couch to crash on. The cash and stock deal reported to be worth between US$200 million and $300 million is said to be Airbnb’s biggest acquisition to date. Source
  • Kraft Heinz withdraws $143 billion bid to buy Unilever

    Economic CTV News
    NEW YORK -- Kraft Heinz has withdrawn its $143 billion offer to buy Unilever, backing away after the mayonnaise, tea and seasonings maker rejected the bid as too low. The companies announced the decision Sunday in a joint press release, saying that Kraft Heinz has "amicably" withdrawn the offer. Source
  • 1 killed, 3 injured in Saudi Aramco oil pipeline leak

    Economic CTV News
    DUBAI, United Arab Emirates -- Saudi oil giant Saudi Aramco says one person has been killed and three others injured as a result of an oil pipeline leak in the east of the kingdom. The company said in a statement Sunday that an emergency response team managed to contain the leak Saturday in Abqaiq. Source
  • IMF agrees to loan $5B to Mongolia

    Economic CTV News
    BEIJING - The International Monetary Fund and other partners have agreed on terms for a $5 billion loan to the Mongolian government to help get the north Asian country's economy back on track. The deal is subject to approval by the IMF's executive board. Source
  • Iraq says proven oil reserves rise to 153 billion barrels

    Economic CTV News
    BAGHDAD -- Iraq says new exploration has revealed an additional 10 billion barrels of oil, bringing its total proven reserves to 153 billion barrels. Oil Minister Jabar Ali al-Luaibi said in a statement Sunday that the increase comes from seven oil fields in central and southern Iraq, without naming them. Source
  • Toxic Jewelry and holiday scams: CBC Marketplace's consumer cheat sheet

    Economic CBC News
    Miss something this week? We got you. Here's this week's Marketplace cheat sheet. Get this in your inbox every Friday. Sign up for the Marketplace newsletter. Rotten reno Paul Gough says he's had to take time off work to act as a contractor and make his home livable again. Source
  • When will oil demand peak? Depends on our driving habits

    Economic CBC News
    In the past, forecasters had a relatively simple method of estimating whether demand for oil would increase or decrease and by how much. For the most part, they simply looked at the economy. If people were making more money, it was safe to assume they would spend more, travel more and head to the car dealership more often. Source
  • 'I was in shock': Why Canadians are still struggling with runaway cellphone charges

    Economic CBC News
    After CBC News ran a story about a cellphone customer who got hit with a $24,000 data roaming charge, more customers started writing in with their own nightmare bill stories. And most involved big data charges. Source
  • Ineffective laws fuelling Canada's online piracy problem, U.S. copyright group says

    Economic CBC News
    Ineffective laws that lag behind international standards have made Canada a hot spot for online piracy and copyright infringement, according to a group of rights holders that has again placed this country on its global watch list. Source
  • Enbridge says pipeline leak near Edmonton was caused by construction

    Economic CTV News
    EDMONTON -- Enbridge (TSX:ENB) says it believes a pipeline that leaked near Edmonton was struck by another company doing construction in the area. The pipeline company says in a news release that the incident happened Friday on its Line 2A pipeline at an industrial site in Strathcona County. Source