Asian stocks fell extending the first weekly losses of the past three weeks on a day when a number of corporate earnings forecasts, from Canon to Posco, fell short of market expectations.
Notably Posco, South Korea's largest steelmaker, slipped 1,7% in Seoul after cutting its earnings forecast for the second time. Canon dropped 1,4% in Tokyo, again after announcing a downward revision of profits. AMP declined 4,9% in Sydney after Australia's largest insurer revealed that fourth-quarter operating profits could fall by A$65 million.
The MSCI Asia Pacific Index fell 0,5% to 142.22 as of 9:15 am in Tokyo, extending the weekly loss to 0,9 percent. The measure had risen to a five-month high on October 22 on speculation that the US Fed would extend monetary support until next year.
"We will see some small corrections," said Donald Williams, chief investment officer at Platypus Asset Management in Sydney. “The expert consensus sees a prolongation of monetary support until next year, but everything will depend on the next economic data. The problem is that there is no unanimous view within the Fed”.
Japan's Topix fell 1,1%, Australia's S&P/ASX 200 rose 0,3% and New Zealand's NZX 50 rose 0,5 percent.
