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Asian Stocks Slide as Traders Shift Focus to Earnings

Published 07/16/2018, 09:21 PM
© Reuters.  Asian markets slid in morning trade
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Investing.com – Asian markets slid in morning trade on Monday following a mixed close in the U.S. as traders shifted their focus to corporate earnings.

Overnight, The Dow Jones Industrial Average rose 0.2%, while the S&P 500 and the Nasdaq Composite slipped 0.1 and 0.3% respectively as Netflix (NASDAQ:NFLX) plunged after the company reported disappointing subscriber growth.

In Asia, Australia’s S&P/ASX 200 eased 0.5% by 9:41PM ET (01:41 GMT). Oil producers led the losses, with Woodside Petroleum and Santos falling more than 1%. Oil prices extended losses on Tuesday after U.S. Treasury Secretary Steve Mnuchin said the U.S. is considering waivers on Iran sanctions for some crude importers.

South Korea’s KOSPI slipped 0.2%. Finance Minister Kim Dong-yeon said the government will consider multiple options to subsidize low-income earners and small businesses amid concerns of potential job losses following a wage hikes announced on Saturday.

"Inevitably we will focus on the impact from minimum wage (hikes) in economic policymaking in the second half," Kim said at a government and party meeting in Seoul.

The country’s Minimum Wage Commission said over the weekend that the minimum wage would increase another 10.9% to 8,350 won an hour, after announcing a 16% increase for 2018.

Elsewhere, China’s Shanghai Composite and the Shenzhen Component 1% and 0.8% lower. The country's average new home prices in 70 major cities increased 5%, quickening from the 4.7% gain in May, data showed on Tuesday, although its impact on equities seemed to be limited.

Japan’s Nikkei 225 resumed online after a public holiday on Monday and rose 0.6%. Hong Kong’s Hang Seng Index was down 1.1% in morning trade.

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