Chinese stock prices plummeted for the second day following reports that the country’s FDI (foreign direct investment) was down 2.8% in Q1 2012 as compared with the same period last year. Investments to the region have been decreasing consistently not just in 2012, but for five consecutive months. The MSCI Asia Pacific Index fell 0.3 percent during the Asian session and a rebound is not likely, as investors are waiting for the next news out of Europe and the US.
Japanese stocks, in contrast, rose yesterday after a surprising rise in US retail sales and speculation the ECB President Mario Draghi may announce pending bond purchases in light of rising borrowing costs in Spain. Though the Nikkei 225 Stock Average fell 1.7 percent yesterday as a direct result of the Spanish debt crisis, it gained 0.1 percent in today’s Asian session following speculation about Draghi’s intentions.
Spain plans to sell 12 and 18 month bonds after borrowing costs rose to the highest point of the year and the cost of insuring against the country’s default reached record highs. The Euro yesterday hit $1.2995, the lowest level in 2 months, though the currency is still more stable than the Aussie which dipped 2.4 percent in the past month.
Japanese stocks, in contrast, rose yesterday after a surprising rise in US retail sales and speculation the ECB President Mario Draghi may announce pending bond purchases in light of rising borrowing costs in Spain. Though the Nikkei 225 Stock Average fell 1.7 percent yesterday as a direct result of the Spanish debt crisis, it gained 0.1 percent in today’s Asian session following speculation about Draghi’s intentions.
Spain plans to sell 12 and 18 month bonds after borrowing costs rose to the highest point of the year and the cost of insuring against the country’s default reached record highs. The Euro yesterday hit $1.2995, the lowest level in 2 months, though the currency is still more stable than the Aussie which dipped 2.4 percent in the past month.
0 comments:
Post a Comment