Asian shares fell on Wednesday to six-week low
Asian shares fell on Wednesday to a six-week low, rattled by fresh trade was concerns following threats from President Donald Trump to Beijing.
“Trump’s comments suggest that U.S.-China trade negotiations are not going well, which is a new negative factor for the markets,” said Osamu Takashima, head of G10 FX strategy at Citigroup (NYSE:C) Global Markets Japan in Tokyo.
“In addition to Brexit, markets are starting to price in the Bank of England moving to dovish from hawkish at its next meeting, so this drives sterling depreciation,” Citigroup’s Takashima said.
Asian shares markets
- MSCI’s broadest index of Asia-Pacific shares outside Japan pared losses to trade down 0.5% but earlier fell to the lowest since June 19.
- Japan’s Nikkei declined by 0.7%.
- In early European trade, the pan-region Euro Stoxx 50 futures rose 0.1%, German DAX futures were up 0.1% and Britain’s FTSE futures were little changed.
- S&P 500 mini futures rose 0.3%.
- The British pound remains near a 28-month low hit the previous day on growing concerns about a disorderly Brexit.
- Sterling traded at $1.2148 not far from $1.2120 marked on Tuesday.
- It has fallen 4.2% so far this month, on course to log its worst monthly performance since October 2016.
- Other major currencies were less volatile with the yen flat at 108.53 yen to the dollar.
- The euro stood little changed at $1.1157.
U.S. West Texas Intermediate (WTI) crude gained 0.69% to $58.45 per barrel after earlier reaching a two-week high of $58.53 in Asia.