· Asia shares fall as investors eye rising COVID-19 cases, Afghan crisis
The continued spread of new COVID-19 variants and the impact on the global economy have shaken market confidence, with traders looking out for earnings reports from major retailers due later in the week.
Investors were also watching news from Afghanistan, where thousands of civilians desperate to flee the country thronged Kabul airport after the Taliban seized the capital and declared the war against foreign and local forces over.
· China stocks fall on weak economic data; tech shares drag Hong Kong index
China shares fell on Tuesday, as lower-than-expected economic data weighed on sentiment, while Hong Kong stocks dropped on Beijing’s latest crackdown on internet sector.
The CSI300 index fell 0.4% to 4,921.74 at the end of the morning session, while the Shanghai Composite Index lost 0.5% to 3,500.43.
The Hang Seng index dropped 0.7% to 26,002.66, while the Hong Kong China Enterprises Index lost 0.9% to 9,181.08.
· China seeks to tighten rules on unfair internet competition, sending tech shares lower
China’s market regulator issued draft rules on Tuesday aimed at stopping unfair competition on the internet, as Beijing continues its broad crack down on the country’s technology sector.
The rules published by the State Administration for Market Regulation (SAMR) cover a wide range of areas from prohibitions on the way companies can use data to stamping out fake product reviews.
Chinese listed technology stocks in Hong Kong fell sharply on that news. Gaming giant Tencent was 3.5% lower in late morning trade, while e-commerce giant Alibaba fell 2.5%.
SAMR’s latest rules continue Beijing’s regulatory assault on China’s technology giants.
· Nikkei falls for fourth day as virus worries outweigh upbeat earnings cheer
Japan’s Nikkei index pared early gains on Tuesday as concerns about the fast-spreading Delta variant of the coronavirus detracted optimism from upbeat earnings.
The Nikkei share average ended 0.36% lower at 27,424.47, erasing earlier gains of 0.52% after strong financial results from heavyweights including Tokyo Electron.
The broader Topix slid 0.49% to 1,915.63 after rising as much as 0.56% earlier.
Japan is struggling to suppress its fifth wave of COVID-19 infections, as they spread from the epicentre of Tokyo.
· Indian shares gain as COVID-19 cases fall, tech stocks jump
Indian shares inched higher on Tuesday, as gains in technology stocks and falling domestic cases of COVID-19 helped investors look past losses in banks as well as concerns around global economic growth.
By 0518 GMT, the blue-chip NSE Nifty 50 index was up 0.10% at 16,579.85, while the benchmark S&P BSE Sensex rose 0.12% to 55,647.82.
The Nifty IT index climbed 1.16%, led by Tech Mahindra’s 3.41% jump, as the sector continued to be buoyed by positive earnings announcements and its lower exposure to the effects of COVID-19.
The pan-European Stoxx 600 was around 0.4% lower shortly after the opening bell, with almost all sectors and major bourses in negative territory.
Back in Europe, U.K. jobs data showed the number of employees on British company payrolls rose month-on-month by 182,000 in July. The U.K.’s Office for National Statistics said the headline unemployment rate for the second quarter came in at 4.7%, slightly lower than economists polled by Reuters had anticipated.
Euro area inflation rate figures for July will follow at around 10:00 a.m. London time.
Reference: CNBC, Reuters
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