EMERGING MARKETS-Thai, South Korean stocks gain on recovery hopes, Singapore slips

EMERGING MARKETS-Thai, South Korean stocks gain on recovery hopes, Singapore slips

Reuters  | Aug 11, 2020 16:00

EMERGING MARKETS-Thai, South Korean stocks gain on recovery hopes, Singapore slips

* Graphic: World FX rates http://tmsnrt.rs/2egbfVh
* Singapore facing biggest recession in its history
* U.S.-China trade talks on Aug. 15
* South Korean stocks gain for seventh straight session

By Nikhil Nainan
Aug 11 (Reuters) - Thailand and South Korea led gains for
most of Asia's emerging currency and stock markets on Tuesday,
bolstered by recent signs of an improving economic landscape in
China and further heavy inflows of foreign capital.
In Bangkok, shares .SETI climbed 1.6%, while in Seoul
.KS11 investors shrugged off initial export data for August
that showed double-digit falls to gain for a seventh straight
session. U.S. President Donald Trump fuelled further tensions with
Beijing last week with his sweeping bans on U.S. transactions
with the Chinese owners of social video platform TikTok and
messaging app WeChat.
But markets across Asia have proven relatively sanguine
ahead of an update on the Phase 1 trade deal by the two sides
this weekend.
"Despite a rather direct attack on Chinese social media
companies, TikTok and WeChat - now facing a ban in US after
Trump's executive order - the sense is that commercial solutions
may avert a political collision," Mizuho analysts wrote in a
client note.
They also argued that U.S. sanctions on Chinese officials,
including Hong Kong Chief Executive Carrie Lam, while likely to
draw some retaliation, may avert an all-out confrontation with
On the ground, the world's second-biggest economy is showing
encouraging signs of recovery after emerging from
coronavirus-led lockdowns earlier than most, but data across the
region makes for a grim reading.
Singapore's second-quarter gross domestic product plunged by
42.9% from the prior quarter on an annualised and seasonally
adjusted basis, in a contraction that was sharper than
previously thought.
The city-state also warned of a slow recovery and Barnabas
Gan, an economist at UOB, warned that "brewing geopolitical and
trade tensions in the background, are key drags to Singapore's
recovery" in the second half. Catching up after a holiday on Monday, the stock market
.STI , lost momentum by the afternoon and dipped into the red,
falling 0.9%.
With global trading volumes subdued by summer holidays in
New York and London, most currencies also inched higher against
the dollar.
The absence of fresh U.S.-China flashpoints overnight helped
the mood as investors awaited talks between Beijing and
Washington on Saturday over their trade deal.

** Keppel Corp KPLM.SI was Singapore's top loser, sliding
10.6% after Temasek abandoned its $3 billion conditional offer
for the conglomerate ** South Korean shares up 7.5% this month
** Indonesian 3-year benchmark yields down 8.1 basis points
to 5.234%
Asia stock indexes and currencies at 0710 GMT
Japan JPY= -0.24 +2.26 .N225 1.88 -3.83
China CNY=CFXS +0.06 +0.07 .SSEC -1.22 9.43
India INR=IN +0.06 -4.63 .NSEI 0.27 -7.13
Indonesia IDR= -0.38 -5.22 .JKSE 0.69 -17.56
Malaysia MYR= -0.14 -2.62 .KLSE -0.10 -1.18
Philippines PHP= +0.13 +3.38 .PSI 0.39 -23.82
S.Korea KRW=KFTC +0.00 -2.46 .KS11 1.35 10.06
Singapore SGD= -0.01 -2.13 .STI -0.85 -21.69
Taiwan TWD=TP +0.39 +2.38 .TWII -0.88 6.53
Thailand THB=TH +0.00 -3.89 .SETI 1.57 -15.01

Related News

Latest comments

Add a Comment
Please wait a minute before you try to comment again.
Write a reply...
Please wait a minute before you try to comment again.

Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

English (USA) English (UK) English (India) English (Canada) English (Australia) English (South Africa) English (Nigeria) Deutsch Español (España) Español (México) Français Italiano Nederlands Português (Portugal) Polski Português (Brasil) Русский Türkçe ‏العربية‏ Ελληνικά Svenska Suomi עברית 日本語 한국어 简体中文 繁體中文 Bahasa Indonesia Bahasa Melayu ไทย Tiếng Việt हिंदी
Sign out
Are you sure you want to sign out?
Saving Changes


Download the Investing.com App

Get free real time quotes, charts and alerts on stocks, indices, currencies, commodities and bonds. Get free top of the line technical analysis/predictors.

Investing.com is better on the App!

More content, faster quotes and charts, and a smoother experience is available only on the App.