In spite of the downward trend of Asian stock markets, the Nikkei index continues on a positive note with a 0.96% increase thanks to acquisitions of Japanese technology, like Sony and Fujitec. On the other hand, Toyota’s car output decreased by 7% in the first semester of this year with respect to 2023, due among other things to the recent scandals about noncompliance with government regulations and the slowdown in Chinese demand.
Moreover, the price of gold keeps reaching new records, with a 0.47% increase for immediate delivery and 0.68% for Comex delivery. Hebe Chen, financial analyst at IG Markets Ltd, said to Bloomberg that the situation seemed like “calm before the storm”, in light of the upcoming American elections, the reunion of the bank of Japan and the performance of tech companies.
Finally, while Nasdaq continues its positive performance, like the 5% gained by Alphabet, as well as a modest 0.2% for the S&P 500, both mainland China and Hong Kong keep receiving losses in their respective financial markets. Investors look forward to the upcoming meeting of the National People’s Congress, where new fiscal stimuli could be announced.
Everything seems to indicate a general sense of tension in international markets, in front of a harsh geopolitical reality comprising the uncertainty of American elections and the slowdown of the Chinese economy, which had seen outstanding levels of growth in the past years.
Author: Luis Cabezas
Photo: Freepik