Asian stock markets fall, doubts about recovery in China
Hong Kong (AsiaNews / Agencies) - Asian stock markets are down after heavy falls yesterday on Wall Street and in Europe. According to analysts, there are doubts about recovery in the U.S. but also in China, problems surrounding the euro and a soaring yen that penalizes exports from Japan.
By mid-morning Hong Kong was down to minus 1.14, the Shanghai market had opened at minus 0.7, at midday the Tokyo Stock Exchange was minus 2.13, minus 1.42 in Seoul.
Optimism has been curbed by fears that the U.S. recovery is much slower than previously thought. A research institute, the Conference Board found that consumer confidence in the U.S. fell from 62.7 in May to 52.9 in June, while it had been expected that the index would remain virtually unchanged.
The economic index even fell for China. In April, it showed a growth of 0.3%, while it had been estimated at 1.7%. China's growth is constrained by a reduction in Government incentives and the European debt crisis.
In Tokyo, exports have been affected by a high value of the yen, which yesterday gained strength on 16 currencies, while the euro continues to fall to its lowest in eight years. One euro is trading at 107.98 yen, the U.S. dollar at 88.53 yen.