8 Jan 2016
Asia volatile as China stocks look to stabilize
FXStreet (Mumbai) - The stocks on the Asian bourses see-sawed on Friday, tracking wild swings in the Chinese equities, and now looks to stabilize as Japan and mainland shares hold on to some gains.
Relief rally seen across Asia
The Chinese benchmark, the Shanghai Composite index rebounded sharply at open and jumped as much as 3.30% as the bulls were relieved after PBOC fixed a lower USD/CNY rate today, while China shelving the circuit breaker mechanism also boosted the sentiment. However, the initial gains were quickly reversed and the equities fell almost -2% before recovering all the losses to now trade +1.60% higher. While Shenzhen Composite was up nearly 1%, while CSI 300index ticked up 1.75%.
Rest of Asia, including Japan and the Australian stocks also mirrored the moves seen in their Chinese counterpart and gyrated alongside, with the Japanese benchmark, the Nikkei 225 now up +0.40% and the S&P/ASX 200 index returning to the red zone, -0.42% so far.
Relief rally seen across Asia
The Chinese benchmark, the Shanghai Composite index rebounded sharply at open and jumped as much as 3.30% as the bulls were relieved after PBOC fixed a lower USD/CNY rate today, while China shelving the circuit breaker mechanism also boosted the sentiment. However, the initial gains were quickly reversed and the equities fell almost -2% before recovering all the losses to now trade +1.60% higher. While Shenzhen Composite was up nearly 1%, while CSI 300index ticked up 1.75%.
Rest of Asia, including Japan and the Australian stocks also mirrored the moves seen in their Chinese counterpart and gyrated alongside, with the Japanese benchmark, the Nikkei 225 now up +0.40% and the S&P/ASX 200 index returning to the red zone, -0.42% so far.