Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your experience. Save up to 40% More details

Asian Stocks Down, Chinese Factory Activity Slows Down

Stock Markets Mar 31, 2022 13:48
Saved. See Saved Items.
This article has already been saved in your Saved Items
© Reuters.

By Gina Lee – Asia Pacific stocks were mostly down on Thursday morning. U.S. counterparts and oil both dropped sharply over a potential massive release of U.S. strategic oil.

China’s Shanghai Composite edged down 0.17% by 10:23 PM ET (2:23 AM GMT) and the Shenzhen Component fell 0.6%. The manufacturing purchasing managers index (PMI) was 49.5, while the non-manufacturing PMI was 48.4, in March 2022. The Caixin manufacturing PMI is due on Friday, and the People’s Bank of China vowed to boost confidence and provide more effective support to the economy.

Securities and Exchange Commission chair Gary Gensler also tamped down speculation that a deal to keep about 200 Chinese stocks from losing their U.S. listings is in the works.

Hong Kong’s Hang Seng Index fell 0.79%.

Japan’s Nikkei 225 edged down 0.13%, with industrial production growing 0.1% month-on-month in February. South Korea’s KOSPI gained 0.51%.

In Australia, the ASX 200 was up 0.35%. Building approvals grew 43.5% month on month, while private sector credit grew 0.6% month on month, in February.

Reports that the U.S. is preparing a plan to release roughly a million barrels of oil a day from its strategic petroleum reserve halted a rebound in oil. The Organization of the Petroleum Exporting Countries and allies (OPEC+) will also meet later in the day.

Global stocks are set for their worst quarter in two years as the war in Ukraine puts upward pressure on commodity prices, forcing central banks, including the U.S. Federal Reserve, to tighten monetary policy.

“I don’t think it’s quite the bear market, but I would say, what is the upside of equities from here, I don’t think it’s that much,” Principal Global Investors chief strategist Seema Shah told Bloomberg.

“But the downside risks are so great. Not only is, of course, the geopolitical crisis going on. But then you have the Fed hikes.”

Markets now expect the Fed to hike interest rates by a half point at its May meeting. Kansas City Fed President Esther George said she favors a “steady, deliberate” series of hikes, while Fed Richmond Bank President Thomas Barkin said he is open to hiking rates by a half-point at the next meeting, depending on how strong the U.S. economy is then.

New York Fed President John Williams will speak later in the day and the U.S. releases its latest jobs report, including non-farm payrolls, a day later.

Across the Atlantic, European short-dated notes led a selloff, with investors betting that higher-than-expected inflation will force the European Central Bank to hike interest rates.

There were also no breakthroughs in talks between Ukraine and Russia to end a war triggered by the Russian invasion on Feb. 24. Russia is also regrouping forces in a bid to take over Ukraine’s Donbas region.

Russia has backed off its demand that natural gas purchases be made in rubles, according to Germany, and a payment mechanism is currently under discussion.

Asian Stocks Down, Chinese Factory Activity Slows Down

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
Sign up with Email