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GLOBAL MARKETS-Asian stocks trip on China tech woes, some cyclical shares bought

Published 25/03/2021, 04:53 pm
© Reuters
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* Asian stock markets: https://tmsnrt.rs/2zpUAr4

* U.S. de-listing threat rattles China tech

* Bargain-hunting for growth shares supports other markets

* Oil falls but Suez Canal remains a concern

By Stanley White and Katanga Johnson

TOKYO/WASHINGTON, March 25 (Reuters) - Asian equities bounced between gains and losses on Thursday as a selloff in Chinese technology shares due to concerns they will be de-listed from U.S. bourses and worries about a semiconductor shortage rattled some investors.

MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS fell 0.07%. The index is close to wiping out all the gains it has posted so far this year.

Hong Kong shares .HSI fell sharply at the open but then erased losses to trade up 0.16%. Alibaba (NYSE:BABA) Group Holding Ltd 9988.HK , Xiaomi Corp 1810.HK , and Tencent Holdings Ltd 0700.HK all traded lower. Shares in China .CSI300 rose 0.28%.

Elsewhere, Japanese stocks .N225 rose 1.33% and Australian shares .AXJO rose 0.17% as bargain hunters bought shares of consumer goods, real estate and financial firms.

U.S. stock futures EScv1 rose 0.28%. Euro Stoxx 50 futures STXEc1 were down 0.21%, German DAX futures FDXc1 were down 0.1%, and FTSE futures FFIc1 were down 0.07%.

The U.S. securities regulator is introducing measures that would kick foreign companies off U.S. stock exchanges if they do not comply with U.S. auditing standards, and require them to disclose any government affiliations - measures widely expected to hit Chinese companies. addition, concerns about extended economic lockdowns in Europe, disruptions to the distribution of coronavirus vaccinations and potential U.S. tax hikes also weighed on investor sentiment.

"Rising interest rates, uncertainty of tax policy, concern over inflation all remain top of mind for investors. However, none of these themes speak to rising appetite for risk," said Peter Kenny of Kenny's Commentary LLC and Strategic Board Solutions LLC in Denver.

"We are seeing last year's big gains underperform the broader market."

On Wall Street, the Dow Jones Industrial Average .DJI fell 0.01%, the Nasdaq Composite .IXIC dropped 2.01%, while the S&P 500 .SPX lost 0.55% as optimistic comments by U.S. Federal Reserve Chairman Jerome Powell and Treasury Secretary Janet Yellen failed to ease profit-taking in the tech sector. gauge of stocks across the globe .MIWD00000PUS rose 0.06%.

U.S. crude CLc1 fell 1.81% to $60.07 per barrel, and Brent LCOc1 fell 1.46% to $63.45 a barrel, giving back some of the previous day's gains made after one of the world's largest container ships ran aground in the Suez Canal, blocking a vital shipping lane. 10-year U.S. Treasury yields US10YT=RR rose to 1.6209%, supported by positive data on the U.S. manufacturing sector. have focused on the 10-year Treasury yield, pondering if there is room for long-term interest rates to run, said David Kelly, chief global strategist at JPMorgan (NYSE:JPM) Asset Management. know that the economy is primed to begin to really accelerate in the second quarter," Kelly said. "But we haven't seen that acceleration yet so that's what we're waiting for."

The dollar hit a fresh four-month high of $1.1804 per euro EUR=EBS on Thursday as extended lockdowns and worries about the pace of vaccinations across Europe hobbled the common currency.

Even Germany's reversal of a call for a strict lockdown over the Easter period was not able to help the euro. Global assets

http://tmsnrt.rs/2jvdmXl Global currencies vs. dollar

http://tmsnrt.rs/2egbfVh Emerging markets

http://tmsnrt.rs/2ihRugV MSCI All Country World Index Market Cap

http://tmsnrt.rs/2EmTD6j

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