This post was originally published on this site
Asian markets dipped in early trading Thursday after the Bank of Japan kept its monetary policy unchanged.
The BOJ voted 7-2 to keep short-term interest rates at minus-0.1% and long-term rates at around 0%. The bank downgraded its view on industrial production but said it sees overseas risks as significant, a change from October’s statement that they were increasing.
“Japan’s economy is likely to continue on a moderate expanding trend, as the impact of the slowdown in overseas economies on domestic demand is expected to be limited, although the economy is likely to continue to be affected by the slowdown for the time being,” the central bank said in a statement.
Japan’s Nikkei NIK, -0.27% retreated 0.3% and Hong Kong’s Hang Seng Index HSI, -0.65% fell 0.6%. The Shanghai Composite SHCOMP, -0.20% slipped 0.2% while the smaller-cap Shenzhen Composite 399106, -0.12% inched down 0.1%. South Korea’s Kospi 180721, -0.18% was about flat, and benchmark indexes in Taiwan Y9999, -0.85% , Singapore STI, -0.24% and Indonesia JAKIDX, -0.42% declined, though Malaysian stocks FBMKLCI, -0.21% rallied. Australia’s S&P/ASX 200 XJO, -0.25% pulled back slightly.
Among individual stocks, SoftBank 9984, +1.82% rose in Tokyo trading, while Isuzu Motors 7202, -3.65% and Nissan Motor 7201, -1.00% fell. In Hong Kong, tech companies AAC 2018, -3.70% and Sunny Optical 2382, -1.87% declined, along with developer Country Garden 2007, -1.99% . Chip maker SK Hynix 000660, +1.51% surged in South Korea following encouraging earnings news by rival Micron MU, +0.08% . Taiwan Semiconductor 2330, -1.75% fell in Taiwan, while Beach Energy BPT, -4.83% and National Australia Bank NAB, -1.21% sank in Australia.
Following a listless day on Wall Street, investors looked ahead to other interest rate decisions by central banks in Indonesia, Taiwan and Sweden.
Australia reported stronger-than-expected November jobs numbers. The Australian government reported employers added 39,900 jobs following a revised loss of 24,800 in October. Annual growth held steady at 2% over a year earlier.
Meanwhile, the U.S. House of Representatives voted to impeach President Donald Trump, sending his case to the Senate for trial. Republicans who control that house say they plan to acquit him.
Trump is accused of abusing his office by pressing the government of Ukraine to investigate a potential political rival ahead of next year’s presidential election. He also is accused of obstructing efforts by Congress to investigate those allegations.
The outcome will be “greater polarization, and a rapid Senate dismissal of the charges made in the House, and then even greater polarization,” said Rabobank in a report.
On Wall Street, the benchmark S&P 500 index and the Dow Jones Industrial Average finished with small losses that left them just below all-time highs.
The S&P 500 SPX, -0.04% fell 1.38 points, or less than 0.1%, to 3,191.14. The Dow DJIA, -0.10% dropped 27.88 points, or 0.1%, to 28,239.28. The Nasdaq composite COMP, +0.05% rose 4.38 points, or 0.1%, to a record 8,827.73.
Losses in banks, industrial stocks, household goods makers and technology companies helped pull the market lower. They offset gains in real estate, communication services, health care and elsewhere in the market.
Benchmark U.S. crude CLF20, -0.02% lost 5 cents to $60.80 per barrel in electronic trading on the New York Mercantile Exchange. The contract declined 2 cents on Wednesday to close at $60.85. Brent crude BRNG20, -0.03% , used to price international oils, shed 1 cent to $66.16 per barrel in London. It added 7 cents the previous session to $66.17.
The dollar USDJPY, +0.03% held steady at 109.57 yen.
