AFP, Hong Kong :
Asian investors moved with caution in Friday trade after days of volatility on global financial markets failed to boost confidence.
In Tokyo, stocks were trading 0.5 percent lower by the break despite a late rally in New York, as investors cashed in after the previous day’s strong rises.
With the trading year winding down, the Nikkei index is heading for its first closure with an annual loss in seven years.
“It’s inevitable that selling emerges after sharp rises like yesterday’s,” said Makoto Sengoku, market analyst at Tokai Tokyo Research Centre.
Over the year, Tokyo’s bellwether index has lost more than 10 percent.
“The Nikkei scored annual gains for the past six years under Abenomics but it’s not the case any more,” Sengoku said, referring to Prime Minister Shinzo Abe’s pro-spending policies.
“This is because of large swings caused by the Trump administration rather than domestic problems,” he told AFP, noting President Donald Trump’s trade spat with China weighed particularly on the market.
Investors moved cautiously across other Asian markets Friday, with the Hang Seng in Hong Kong hovering between positive and negative territory for much of the morning.
In Sydney shares were up 0.6 percent in morning trade, Bangkok slipped 0.5 percent, and Seoul’s Kospi shares index gained 0.6 percent.
Volatility reigned supreme across global markets this week, as investors wrestled with worries about slowing global growth, trade wars, the Brexit process and a US government shutdown.
A choppy day’s trading on Wall Street finished solidly higher Thursday following a late session surge, but European markets suffered deep declines that dented investor hopes of finishing 2018 with gains.
Frankfurt is now nearly 20 percent down from the start of the year, London has declined more than 14 percent and Paris more than 13 percent.
Asian investors moved with caution in Friday trade after days of volatility on global financial markets failed to boost confidence.
In Tokyo, stocks were trading 0.5 percent lower by the break despite a late rally in New York, as investors cashed in after the previous day’s strong rises.
With the trading year winding down, the Nikkei index is heading for its first closure with an annual loss in seven years.
“It’s inevitable that selling emerges after sharp rises like yesterday’s,” said Makoto Sengoku, market analyst at Tokai Tokyo Research Centre.
Over the year, Tokyo’s bellwether index has lost more than 10 percent.
“The Nikkei scored annual gains for the past six years under Abenomics but it’s not the case any more,” Sengoku said, referring to Prime Minister Shinzo Abe’s pro-spending policies.
“This is because of large swings caused by the Trump administration rather than domestic problems,” he told AFP, noting President Donald Trump’s trade spat with China weighed particularly on the market.
Investors moved cautiously across other Asian markets Friday, with the Hang Seng in Hong Kong hovering between positive and negative territory for much of the morning.
In Sydney shares were up 0.6 percent in morning trade, Bangkok slipped 0.5 percent, and Seoul’s Kospi shares index gained 0.6 percent.
Volatility reigned supreme across global markets this week, as investors wrestled with worries about slowing global growth, trade wars, the Brexit process and a US government shutdown.
A choppy day’s trading on Wall Street finished solidly higher Thursday following a late session surge, but European markets suffered deep declines that dented investor hopes of finishing 2018 with gains.
Frankfurt is now nearly 20 percent down from the start of the year, London has declined more than 14 percent and Paris more than 13 percent.
