EMERGING MARKETS-Asian stocks, currencies slip on renewed spike in COVID-19 cases

  • 4/21/2021
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* Asian currencies weaker as dollar firms on safe-haven flows * Singapore stocks eye worst session in nearly 2 months * South Korea stocks on track for worst session since March 9 By Harish Sridharan April 21 (Reuters) - Asian stocks and currencies fell on Wednesday as renewed concerns over spiking coronavirus cases in India and elsewhere in the world rekindled doubts about the speed and strength of a global economic recovery. Equity markets in export-focused countries such as Singapore and South Korea took the biggest hit in the region as riskier assets came under pressure globally. The dollar benefited from safe-haven demand overnight, weighing on most Asian currencies, while a negative lead from Wall Street didn"t help either, with streaming services giant Netflix tumbling after an underwhelming earnings update. "Market players seem caught between a rock and a hard place where global infection levels, most notably India"s, remain high but companies that benefitted from the pandemic seem to be at an inflexion point," analysts at Maybank wrote in a note. India reported its worst daily death toll on Tuesday, as the the world"s second most populous country"s stretched healthcare system struggles to cope with the pandemic"s sweeping impact. Indian currency and equity markets, which were shut for a local holiday, could be in for a torrid reception when they re-open on Thursday. Singapore stocks were on course to mark their worst day in nearly two months, while South Korean shares fell as much as 1.7% and looked set for their weakest session in six weeks. South Korea data earlier in the day showed the country"s exports during the first 20 days of April jumped 45.4% from a year earlier, but that did little to lift sentiment in the face of an uncertain global trade outlook. The won fell 0.6% to 1,119.1 per dollar, on track for its worst daily performance in nearly five weeks. The Indonesian rupiah was off 0.3% even as country"s central bank stood pat on interest rates on Tuesday and signaled its commitment to stem further depreciation of the currency. The Thai baht slipped 0.2% to 31.340 per dollar, a more than one-week low. Analysts at DBS said that the currency is expected to hold between 31.0 and 31.5 and that record number of coronavirus infections will weigh on the economy and currency of the tourism-reliant country. In Russia, the rouble and Russian stock indexes declined on Tuesday as a military buildup near Ukraine raised international concerns. Highlights ** Top loser on the Singapore STI was Keppel Corporation Ltd, down 2.94% ** Among the heavyweights in South Korea, technology giant Samsung Electronics fell 1.55% ** Axiata Group Bhd fell 3.25% and was the top losers on FTSE Bursa Malaysia Kl Index Asia stock indexes and currencies at 0421 GMT COUNTRY FX RIC FX DAILY % FX YTD % INDE STOCKS STOCK X DAILY S YTD % % Japan +0.04 -4.44 <.N2 -2.06 3.85 25> China +0.02 +0.44 <.SS 0.15 0.14 EC> Indonesia -0.24 -3.37 <.JK -0.56 0.43 SE> Malaysia +0.00 -2.26 <.KL -0.39 -1.59 SE> Philippines -0.03 -0.78 <.PS -0.29 -9.22 I> S.Korea -0.47 -2.80 <.KS -1.63 10.26 11> Singapore -0.04 -0.63 <.ST -1.26 10.83 I> Taiwan +0.22 +1.45 <.TW -0.42 17.10 II> Thailand -0.10 -4.28 <.SE -0.08 8.93 TI> (Reporting by Harish Sridharan in Bengaluru Editing by Shri Navaratnam)

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