Asian Market Descends from High, Ending the Week Mixed

The Asian market is planning to end the week mixed. Investors still digest the juices from the trudging developments on the fresh stimulus package in the United States.

Shares descend from the record-high session recorded previously. They were buoyed by successive events ranging from the vaccine progress and a weak dollar.

The MSCI’s broadest index of Asia Pacific shares dropped 0.3% for the day. Nevertheless, it is still in aposition to clinch its seventh consecutive week of gain. 

This is its longest winning streak recorded in the year.

Following the upward trend are Chinese shares which are lifted by a lift on its coal and energy segment.

According to reports, an increasing number of Chinese cities and provinces experience electricity shortages amid the growing industrial activities in the country. 

Similarly, the extreme cold weather currently experienced added to the dilemma.

With the persisting problem on energy, the state pledged its commitment to take necessary measures to ramp up the electricity supply. Such a statement is quick to give a boost to the coal miners.

The Shanghai Composite index is up by 0.13% to 3,409.31 points and the CSI300 also added 0.3% during the midday break. 

So far in the year, the major indices are up by 11.8% and 22.5% respectively. Shanghai is advancing by 0.52% two weeks in for December. 

The biggest gainers from the session are Ningbo Thermal Power Co, Shanghai Datun Energy Resources, and Dongfeng Electronic Technology. They all gained more than 10% each.

Meanwhile, Hong Kong’s Hang Seng shed off 0.66% for the day, down by a total of 6% so far in the year.

 

Nikkei 225 Edges Down, BOJ Decision Weighs

Elsewhere, in Japan, the Nikkei 225 is looking to end the week in the red. It is weighed down by the decision of the Bank of Japan.

The index dipped as much as 1.6% at one point of the session. Its counterpart, the Topix bourse, declined by 0.11%.

This came as the Japanese central bank announced the extension of its special program aimed at easing financing pressures on corporations for another six months.

Adding on, the monetary agency noted that it will conduct a reevaluation of more effective and sustainable monetary easing mechanisms targeted to help the economy achieve its inflation target.

Meanwhile, shares in South Korea’s KOSPI index added 0.17% while Australia’s ASX 200 fell by 0.83%.

The market is closely monitoring the approval of the next stimulus cushion in the United States. It is believed to be worth $900 billion. 

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