Asia: stocks lower after lacklustre US lead

Asia stocks were mostly lower at the close amid uncertainty as to how China’s yuan devaluation will pan out over the next few weeks.

The Asia Dow was down by 0.04% while Hong Kong’s Hang Seng was down 0.21%. Japan’s Nikkei also closed lower.

Asian stocks were lower after lacklustre cues from the US, Accendo Markets analyst Michael van Dulken said, as investors weighed up a marginally stronger Chinese currency and oil price declines weigh on energy-related stocks.

“Equities in China nonetheless set for best week in nearly two months led by commodities amid speculation of further Yuan weakness,” van Dulken added.

The Shanghai Composite was up by 0.26% while the Shenzhen composite was up 0.5%.

In Japan stocks were down, with the Nikkei 225 closing 0.37% lower as shares in the marine transport, mining and chemicals sector led the index lower. The yen was at ¥ 124.31 to the dollar.

Down under, Australia’s ASX 200 slipped by 0.6% to a new six-month low.

Risers were led by gaming company Tabcorp which posted a 15% increase in full year profits, sending shares up by 6.68% at the close. Going the other way oil and gas producer Santos lead the losers, falling to a five year low.

In New Zealand shares fell for a seventh day as offshore concerns overshadowed the local reporting season. The NZX 50 Index was down 0.7%. The Kiwi dollar has been pushed lower by China’s currency moves, forcing offshore investors to sell New Zealand equities.