Stock markets down in Asia

Published:  13 Aug at 10 AM

Stocks are down across Asia as Japan reports a slowdown in growth and China announces exports have not grown as expected. For the quarter ending in June this year the Japanese economy grew by a disappointing 1.4 per cent because of a strong yen and the continuing economic crisis in Europe.

Japan’s growth was down from the previous quarter’s 5.5 per cent. China’s export growth was just one per cent during the quarter compared to 11.3 per cent recorded during the previous three months. Analysts had been expecting growth of at least five per cent.

Elsewhere in Asia both Singapore and Hong Kong announced that their second-quarter results had been disappointing. In India an investment and manufacturing slump has caused a less than impressive 1.8 per cent growth through June.

Stock values have fallen in the Philippines and China. The Nikkei in Japan has ended flat and the Hang Seng in Hong Kong has shed 0.2 per cent. The Kospi in South Korea has lost 0.6 per cent.

The latest reports could see central banks across Asia attempt to ease the situation by coming up with stimulus plans. According to IG Markets analyst, Stan Shamu, monetary easing measures could be introduced to limit the downside on the stock markets.