Spark Global Limited reports：
Asian stocks fell on Friday as disappointing results from Chinese e-commerce giant Alibaba added to concerns about a broad regulatory crackdown by Beijing and slowing growth in the world’s second-largest economy.
That left the region lagging Wall Street’s strength, with MSCI’s broadest index of Asia-Pacific shares outside Japan down 0.44 per cent and set for a weekly loss of 1.2 per cent.
Tokyo’s Nikkei stock average rose 0.40% after Prime Minister Fumio Kishida announced a new stimulus package worth about 56 trillion yen ($490 billion).
Overnight, the S&P 500 and Nasdaq both closed at record highs, buoyed by upbeat earnings from companies such as Nvidia.
But Asian markets were more subdued, with Hong Kong’s benchmark index plunging 1.5 per cent, dragged down by index heavyweight Alibaba. Alibaba shares fell more than 10% after its second-quarter results were worse than expected, hit by slowing consumption, intensifying competition and a regulatory crackdown.
Analysts said the drop reflected slower economic growth in China this year and broader investor sentiment dampened by Beijing’s months-long sweeping regulatory crackdown on many sectors, including real estate and technology.
Chinese economic data in recent months have also highlighted a loss of momentum, with the outlook for the next 12 months gloomier than at the start of the year.
“The decline in [Alibaba’s] quarterly results is not surprising after the National Bureau of Statistics retail sales data slowed sharply over the past two months,” Citi analysts said in a note. They lowered their price target on Alibaba.
Turmoil in China’s property sector continues to weigh on general sentiment in global markets. China’s property sector is struggling with a heavy debt burden and tightening liquidity in response to Beijing’s crackdown.
Shares in Country Garden Services Holding, the property management arm of Chinese developer Country Garden, plunged 16 per cent after it raised HK $8bn (US $1bn) in a Hong Kong listing.
Chinese blue chips have been flat, as have most of Asia.
Other major currencies were mostly quiet, with the dollar trading slightly lower against a 16-month high hit earlier this week.
The yen has barely reacted to the government’s stimulus news and has fallen slightly each week, although it has rebounded to $114.27 from a near five-year low of $114.97 hit a few days earlier.
In emerging markets, Turkey’s central bank cut interest rates amid political pressure and a currency crisis that sent the lira to its lowest level ever, even as inflation neared 20 percent.
Benchmark Treasury yields held steady at 1.5924 per cent.
“The UST market is consolidating in the near term, waiting for new catalysts to change valuations. … There are already many factors built into the price and, as a result, progress towards higher yields is likely to be slow and dictated by momentum shifts and sentiment swings, “Westpac analysts said in a note.
Oil prices were steady in early Asian trading. U.S. crude was flat at $79 a barrel. Brent crude rose 0.06% to $81.33 a barrel.
Oil prices fell to a six-week low on Thursday after Reuters, citing sources, reported that the Biden administration had asked some of the world’s largest oil consumers — including China, India and Japan — to consider releasing crude inventories in a coordinated effort to lower global energy prices.
Spot gold rose 0.18 per cent.
Reprint indicated source：Spark Global Limited information