Investing.com - Asian stocks fell Thursday due to ongoing delays in Greece's negotiations to access bailout money, while in China, inflation rates outpaced expectations in January, which spooked equities markets.
During early Asian trading on Thursday, Hong Kong's Hang Seng Index was down 0.55%, Australia's S&P/ASX200 was down 0.66%, while Japan’s Nikkei 225 Index was down 0.50%.
Greece is seeking EUR130 billion in assistance funding to avoid a messy default in March.
To get that money, the country must restructure its debts with private creditors as well as agree to austerity measures from multilateral lenders.
Multilateral organizations such as the International Monetary Fund, the European Union and the European Central Bank are demanding that Greece agree to politically unpopular austerity measures such as payroll cuts and pension reforms in exchange for bailout money, and the country is close to accepting terms.
Reports emerged, however, that Athens has agreed to slash public-sector payrolls, but some in the country's ruling coalition balked at pension reforms, thus throwing a formal agreement into delay anew.
Furthermore, Chinese annual inflation rate came in higher than expected, climbing 4.5% in January, well above market expectations for a 4.0% gain.
Economists attributed the increase to seasonal factors but stressed Chinese price stability merited scrutiny going forward.
In Hong Kong, the top decliners included China Mer Holdings, down 2.43%, Cheung Kong, down 2.19%, and Bankcomm, down 2.01%.
In Australia, the top decliners included Sims Metal Management, down 6.95%, Gunns Limited, down 5.88%, and One Steel, down 5.59%.
European stock futures indicated a lower opening.
France's CAC 40 futures pointed to a loss of 0.24%, while Germany ’s DAX 30 futures signaled a loss of 0.16%. Meanwhile, in the U.K., the FTSE 100 futures indicated a loss of 0.28%.
Dow Jones Industrial Average futures were down 0.26% while the S&P 500 futures were also down 0.26%.
Later Thursday, Japan is to release government data on core machinery orders, a key gauge of production.
The U.K. will release official data on manufacturing output as well as figures on the country’s trade balance.
The U.K. National Institute of Economic and Social Research is to publish its monthly estimate on gross domestic product.
Also Thursday, the Bank of England is to announce its plans for benchmark interest rates.
The ECB is also to announce set to address benchmark interest rates as well, followed by a press conference.
The press conference will draw close market scrutiny, as the world will be keen on language hinting at a need for new monetary measures to counter the region’s sovereign debt crisis.
Later in the day, the U.S. is to publish government data on initial jobless claims, a key signal of overall economic health.
During early Asian trading on Thursday, Hong Kong's Hang Seng Index was down 0.55%, Australia's S&P/ASX200 was down 0.66%, while Japan’s Nikkei 225 Index was down 0.50%.
Greece is seeking EUR130 billion in assistance funding to avoid a messy default in March.
To get that money, the country must restructure its debts with private creditors as well as agree to austerity measures from multilateral lenders.
Multilateral organizations such as the International Monetary Fund, the European Union and the European Central Bank are demanding that Greece agree to politically unpopular austerity measures such as payroll cuts and pension reforms in exchange for bailout money, and the country is close to accepting terms.
Reports emerged, however, that Athens has agreed to slash public-sector payrolls, but some in the country's ruling coalition balked at pension reforms, thus throwing a formal agreement into delay anew.
Furthermore, Chinese annual inflation rate came in higher than expected, climbing 4.5% in January, well above market expectations for a 4.0% gain.
Economists attributed the increase to seasonal factors but stressed Chinese price stability merited scrutiny going forward.
In Hong Kong, the top decliners included China Mer Holdings, down 2.43%, Cheung Kong, down 2.19%, and Bankcomm, down 2.01%.
In Australia, the top decliners included Sims Metal Management, down 6.95%, Gunns Limited, down 5.88%, and One Steel, down 5.59%.
European stock futures indicated a lower opening.
France's CAC 40 futures pointed to a loss of 0.24%, while Germany ’s DAX 30 futures signaled a loss of 0.16%. Meanwhile, in the U.K., the FTSE 100 futures indicated a loss of 0.28%.
Dow Jones Industrial Average futures were down 0.26% while the S&P 500 futures were also down 0.26%.
Later Thursday, Japan is to release government data on core machinery orders, a key gauge of production.
The U.K. will release official data on manufacturing output as well as figures on the country’s trade balance.
The U.K. National Institute of Economic and Social Research is to publish its monthly estimate on gross domestic product.
Also Thursday, the Bank of England is to announce its plans for benchmark interest rates.
The ECB is also to announce set to address benchmark interest rates as well, followed by a press conference.
The press conference will draw close market scrutiny, as the world will be keen on language hinting at a need for new monetary measures to counter the region’s sovereign debt crisis.
Later in the day, the U.S. is to publish government data on initial jobless claims, a key signal of overall economic health.