Asian Stocks Mixed After Chinese Stimulus
Aug 21st 2012 6:09AM
Updated Aug 21st 2012 8:10AM
Asian stocks were mixed as China moved to alleviate a cash crunch and ahead of U.S. reports that are expected to show the world's biggest economy is improving.
China's Shanghai Composite Index added 0.5%. Hong Kong's Hang Seng Index and Japan's Nikkei Stock Index dropped 0.2%.
China's central bank increased reverse-repurchase operations today to ease a cash crunch by injecting 150 billion yuan ($24 billion) using seven-day contracts and a further 70 billion yuan with 14-day agreements. That is the largest injection since July 3. And Economic Information Daily said China is considering measures to boost domestic consumption this year, such as encouraging the use of credit.
Toyota Motor Corp. (NYSE: TM), the world's biggest carmaker, gained 0.5% in Tokyo. Konami Corp. (NYSE: KNM) rose 3.6%, while Nintendo Co.,advanced 2.2% after it released its 3DS XL portable game system in the United States. Japanese shipping firm Mitsui OSK Lines Ltd. was down 2.7% after an analyst's downgrade.
Apple Inc. (NASDAQ: AAPL) suppliers Hon Hai Precision Industry Co. gained 1.3% and Foxconn Technology Co. added 1% in Taipei. Taiwan Semiconductor Manufacturing Co. (NYSE: TSM), the world's largest contract manufacturer of computer chips, rose 1.5% in Taipei. Asia Pacific Breweries Ltd. surged 4.8 percent in Singapore after Heineken NV raised its offer for a controlling stake in the maker of Tiger beer. PICC Property & Casualty Co. added 7.3% in Hong Kong after China's biggest non-life insurer posted higher first-half earnings. But Cnooc Ltd. (NYSE: CEO), China's biggest offshore oil and gas explorer, dropped 3% after it reported that its first-half profit fell 19% year over year.
Filed under: 24/7 Wall St. Wire, China, International Markets, Pre-Market Activity Tagged: AAPL, CEO, KNM, TM, TSM