Hong Kong: Asian markets mixed with Thursday due to increasing inflation worries angered by reports that Chinese property giants that constantly avoid default after meeting the bond payment deadline.
US investors ran for protection and the dollar surged after the estimates read on the consumer price index, which hit 31 years ago last month, giving fresh pressure on the Federal Reserve to act out of control.
Surge – who came a day after a report showed the price of the manufacturer accelerated – crushed by a surge in various items, especially gasoline, autos and food prices, and increased central bank expectations would be forced to tighten the policy monetary faster than expected.
While Fed officials insist on a leap will be temporary when the global economy slowly returns to the similarity of normality next year, observers warn the pain can continue for some time.
“Details in the report revealed a broad price increase, challenging the idea that higher inflation was just a function of the interim factors,” said Rodrigo Catril National Bank Australia.
“Above some specials from the second quarter reappear (cars, holidays, etc.) are a higher trend and history shows that once the rent will be a trend not to retreat very quickly.
Meanwhile, the cost of labor also increases.” And Sarah House, at Wells Fargo & Co, added: “We will see inflation images worse before getting better.” The three main indices, who started the week posting a fresh note, sink into red for the second day in a row.
However, in Asia, the mood was slightly lighter after Bloomberg News reported that China Evergrande had made cash for the interests of bonds due at the end of Wednesday.
Payment means avoided default again, after meeting two deadlines before, and slightly ease worries about the collapse.
However, the payment was only done after a 30-day grace period that kicked when it failed to meet the deadline.
And analyst said the company’s prospects, which sank in more than $ 300 billion in debt, remained uncertain and fear of lingering about abundance into the Chinese economy or even globally.
Hong Kong rose, with Evergrande surged more than eight percent, while Shanghai, Tokyo, Wellington and Jakarta were also in positive regions.
Sydney, Seoul, Singapore, Taipei and Manila all fell.
Despite having concerns about prospects, Louis Navellier market analyst remains optimistic.
“The point is that the big liquidity that has been injected into the capital market by the central bank continues to lift all ships, and stocks continue to have the best fundamental stories with solid income, bright IPO markets and even many solid dividend games.” If inflation will not worry investors, what will happen? Cryptocurrency as a fence against inflation.
In Hong Kong, Alibaba fell almost two percent because it held an online sales event “Single Day” which was far more calm, with almost all of Razzmatazz which had marked previous years, with Chinese e-commerce giants bombarded by China.
Government’s hard action on the platform.
Chinese consumer demand for bargaining-hunting huntings that are activated with smartphones have seen the pre-Christmas dwarf day “Black Friday” promotion in the United States, with Alibaba and rival JD.com reported a combined sales of more than $ 100 billion in 2020.
But nothing Rolling calculation or winning comments by executives from the main platform on Thursday morning, and the government media has described a quieter event this year after the Beijing campaign to control large technology.