Japan drags Asian Markets in the Red, Stronger Yen weighs
The risk-off moods hit the Asian markets at the start of a brand new
week, with most major Asian indices witnessing bearish opening,
particularly the Nikkei 225
index. While sluggish manufacturing activity reports from China
released over the weekend also weighed negatively on the markets.
However, over the last hour, the Asian equities are seen stabilizing amid low volumes and lack of fresh fundamental triggers as the Chinese markets remain closed in observance of Labour Day.
Yen’s strength smashes Nikkei
The Japanese stocks extended last week’s extensive sell-off this Monday as the yen’s relative strength following BOJ’s surprise of keeping the policy steady hammered the exports-oriented stocks. The Japanese benchmark index, the Nikkei 225 now sinks -3.62% to 16,062 points, while USD/JPY is seen attempting a minor-recovery from eighteen-month lows.
While the Australian indices consolidate early losses and remain on the back ahead of RBA’s policy decision due tomorrow and major economic data lined up for release later this week. Australia’s ASX 200 index drops -0.83% to 5,208 points.