Asian stocks on Wednesday

Asian stocks on Wednesday

On Wednesday, stock exchanges in China resumed its daily operations after the week-long holidays, which lasted from October 1 to October 7.

It is worth mentioning that the new round of escalations between the U.S. and China affected the stock markets around the world. Several days earlier, before the high-ranking officials meeting in Washington, U.S. blacklisted 28 Chinese companies. China’s foreign ministry said that the U.S. should stop interfering in the internal affairs of China.

The U.S. expanded its trade blacklist to include top Chinese artificial intelligence companies. This news may have a long-lasting influence on the trade talks.

There is another factor that may further complicate the situation. The U.S. is going to increase the tariffs, which are already in place starting from October 30. As a result tariffs on $250 billion worth of Chinse products will reach 30%. U.S. President Donald Trump said that if trade talks end without a sign of progress the U.S. will implement this decision.

Stock market newsAsian stock markets its challenges

The stocks in mainland Chinese stock indexes managed to overcome the problems. For instance, the Shanghai Composite index rose by 0.39% to around 2,924.86. The Shenzhen component index rose by 0.34% to 9,506.56. The Shenzhen composite increased by 0.654% and was close to 1,609.10.

Meanwhile, Hong Kong’s Hang Seng index fell by 0.61%.

In Japan, the Nikkei 225 fell by 0.61% to 21,456.38. Another Japanese index Topix fell by 0.3% and was close to 1,581.70.

Famous Japanese company Sharp experienced problems as its shares dropped 2.88%. Nevertheless, Murata Manufacturing’s shares increased by 0.16%.

The overall situation across Asian stock markets shows that it will take time to adjust to the outcome of the trade talks. Both countries should work harder to achieve at least a partial trade deal. Otherwise, global stock markets may have to cope with serious market instability across the continents.

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