Shanghai stabilizes after a shaky start, Nikkei drops

By FXStreet FXStreet (Mumbai) – The sentiment on the Asian markets remains mixed amid a relatively calm Asia, with the Japanese stocks reversing early bounce and dives in the red, playing catch up with the global turmoil after markets were closed the day earlier.

While the Chinese indices had a steady start, before reversing initial bounce and turning lower. However, the downside was limited and China stocks once again jumped back on the recovery mode, with the benchmark, the Shanghai Composite index now advancing 0.55%, Shenzhen’s CSI 300 index jumps +1.55%. While Hong Kong’s Hang Seng rises 0.84% and trades well above 20k barrier, rebounding from the lowest level since 2013.

However, markets remain wary and refrain from placing big bets as the ongoing concerns over the Chinese slowdown and doubt whether that the recovery in the Chinese equities is only a dead cat bounce.

Among other Asian indices, the Australian stocks attempt a tepid-recovery amid lower oil prices, while the Japanese stocks catch up with yesterday’s slump seen across the Asian stocks, with the Nikkei 225 smashed nearly -2% to 17,353 and the S&P/ASX 200 index 0.23% higher at 4,942.
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Source:: FX Street