By The Financial District
Asian Shares Mixed After China Admits Growth Slid In 2nd Quarter
Asia's stock markets were mixed on Friday, July 15, 2022, following news that China's economy dropped by 2.6% in the previous quarter due to virus-related business closures and consumers staying at home, Elaine Kurtenbach and Joe McDonald reported for the Associated Press (AP).
Photo Insert: On Wall Street on Thursday, the S&P 500 lost 0.3% to 3,790.38. Although the Nasdaq was up 1.83%, almost three out of every four benchmark index equities closed in the red, the Dow Jones declining by 0.5%.
The Nikkei 225 index increased 0.6% to 26,797.47. The Kospi in Seoul increased 0.1% to 2,324.29, and stocks also increased in India and Taiwan. The Shanghai Composite index fell 0.2% to 3,273.87 points.
The S&P/ASX 200 in Australia fell 1.1% to 6,578.50, while the Hang Seng in Hong Kong fell 0.7% to 20,594.
According to official data, the Chinese economy contracted by 2.6% compared to the already sluggish quarterly growth rate of 1.4% from January to March. Compared to a year ago, which might mask recent swings, growth dropped to a meager 0.4% from 4.8% in the previous quarter.
In late March, anti-virus controls shut down Shanghai, the site of the world's biggest port, and other manufacturing areas, fanning fears of a disruption in global trade and industry. Millions of families were confined to their homes, resulting in a decline in consumer spending.
On Wall Street on Thursday, the S&P 500 lost 0.3% to 3,790.38. Almost three out of every four benchmark index equities closed in the red.
The Dow Jones Industrial Average decreased by 0.5%. Small-company equities declined more than the market as another indication that investors are concerned about economic expansion. The Russell 2000 index declined 1.1% to 1,707.51.
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