Asian stock exchanges fell again, recording their worst weekly contraction since last June on a day in which gold prices rose and copper fluctuated for a long time due to growing concerns about Chinese economic growth.
The MSCI Asia Pacific index fell 1,4% at 11am in Tokyo, heading for its worst close since February 10. A group of Hong Kong-listed Chinese companies are down more than 20% since their December 2 highs. The Nikkei 225 plunged 2,5%, while the yen was on its way to closing out the week with its largest weekly increase since January 24
About $1,2 trillion has been burned into stocks around the world this week, as a slew of data from Beijing raised fears for Chinese growth. On the international front, Crimea will vote on March 16 whether to become independent or rejoin Russia. The United States and Germany threaten Russia with sanctions for supporting secession. Britain and India to release key economic data.
“There is great concern on the markets” comments Robert Aspin, head of equity investment strategy at Standard Chartered in Singapore. “Contagion from Ukraine will be limited. The focal point remains China, which has churned out negative data in the last two weeks". Bank of America, UBS AG, JPMorgan Chase & Co and Nomura Holdings have lowered their forecasts for Beijing's 2014 growth.
