Shanghai Composite lower amid Asia-Pacific gains

Most equities markets in the Asia-Pacific region saw gains on Thursday. The exception was in China, where the Shanghai Composite dropped 0.87 percent to 4,527.18 on losses by refiners and banks. Refiners were down on fears that higher prices for crude oil will erode their earnings. Chinese refiners cannot raise prices to cover their rising costs without permission from the government. The Hang Seng added 0.14 percent to 23,623 while India’s Sensex was up 0.66 percent to 17,734.68. The FTSE Straits Times Index was 0.92 percent higher to 3,054.81. South Korea’s Kospi index gained 0.97 percent to 1,704.36. In Australia, the Sydney Ordinaries added 1.54 percent to 5,663 and the S&P/ASX200 was up 1.58 percent to 5,583.4. The Taiex was 2.43 percent higher to 8,085.93 in Taiwan.

Tokyo’s markets were also higher. The Nikkei 225 was up 2.84 percent to 13,688.28 while the Topix index added 2.46 percent to 1,334.72 and the Mothers market gained 2.49 percent to 686.56 as the yen weakened. Commodities-related shares in the oil and mining and metals sectors were higher. Metals-related shares were helped by broker upgrades in the sector. Banks gained on the possibility of mergers among regional banks, while the electronics sector advances as well.

Equities markets were also higher in Europe. The FTSE Eurofirst 300 was up 0.69 percent to 1,330.08. The Dax was 0.07 percent higher to 6,904.85 in Frankfurt while the IBEX added 0.71 percent to 13,173 and the Paris CAC-40 gained 0.96 percent to 4,858.85. The steel sector led gains in both Paris and Frankfurt. Insurers and the pharmaceutical sector also saw gains. Banks were mixed, while airlines, insurers, and utilities declined.

In London, the FTSE 100 was up 0.65 percent to 5,932.2 while the FTSE 250 gained 0.57 percent to 10,181.7. Most retailers were higher on new data from the Office of National Statistics showing that sales grew in January. Banks and the mining sector were both mostly higher while publishers and insurers saw gains. Brewers and airlines were lower on the session.

Wall Street was lower in early afternoon trade after a report from the Philadelphia Federal Reserve showed that regional manufacturing contracted more in January and on worries that interest rate cuts won’t be enough to stop the weakening of the economy. The Dow Jones Industrial Average was 0.96 percent lower to 12,307.42 while the Nasdaq Composite fell 0.65 percent to 2,312.03 and the S&P 500 dropped 1,347.11. The computer and semiconductors sectors saw gains, but the oil sector was lower on lower crude oil prices and gains in inventories. Airlines were also mostly lower.

Story link: Shanghai Composite lower amid Asia-Pacific gains