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Asian markets mixed with gloomy earnings and pandemic concerns



Asian stocks were mixed on Wednesday as reports of gloomy corporate earnings add to pessimism over the widespread economic downturn from the coronavirus pandemic.

Tokyo’s Nikkei 225 index lost 1% after Fitch Ratings reduced its Japanese outlook to “negative” from “stable”.

“The coronavirus pandemic caused a sharp economic contraction in Japan, despite the country’s early success in infecting the virus,” Fitch said of his decision.

Japanese automaker Nissan Motor Co. 7201 “,
-10.15 percent
reported a loss in the first fiscal period and is expected to remain significant in the second year. Other famous Japanese companies, such as the camera company Canon 7751

,
-13.40%
and robot manufacturer 6954,
-8.14 percent
Weak results have also been reported.

Overnight earnings reports also discouraged investors from falling shares on Wall Street. Market participants are awaiting the outcome of the US Federal Reserve Policy Meeting, which began on Tuesday. Gold prices GCQ20,
+ 0.11%
moderately increased their gains and increased 0.3% to $ 1,949.70 by noon Asian time.

Nikkei 225 NIK
-1.24 percent
gave 1% and South Korea’s Kospi 180721
-0.14 percent
added 0.1%. Australian S & P / ASX 200 XJO
-0.11 percent.
was flat. Hong Kong Hang Seng HSI
-0.07 percent.
increased by 0.1% and Shanghai Composite SHCOMP
+ 1.06 percent
jumped 1%.

Jingyi Pan, Singapore’s IG market strategist, said market participants were also monitoring Hong Kong’s second-quarter growth data.

The Federal Reserve opened a two-day meeting on interest rates on Tuesday, which is scheduled to be announced on Wednesday. Investors basically expect the central bank to keep its record short-term rates close to zero, but they also want to hear what he has to say about how long they can stay there.

The Fed helped kick-start the stock market recovery in late March, when interest rates were cut and promises were made to buy treasury securities, corporate bonds and other debt to lend to the economy. The Fed said on Tuesday that the duration of the seven loan programs will be extended by three months until the end of the year, meaning the severity of the recession.

Sentiments on Wall Street, however, were low.

S&P 500 SPX
-0.64 percent.
fell 0.6% to 3,218.44 after a last-hour slide erased a small gain from the day before. Dow Jones industry average DJIA,
-0.77 percent
decreased by 0.8% to 26,379.28 and Nasdaq Composite COMP
-1.27 percent
lost 1.3% to 10,402.09.

This week marks the earnings of the S&P 500 reporting season. Several large companies delivered results that fell short of analysts ’already lowered expectations as the pandemic stole customers and increased some costs.

MMM 3 million
-4.84 percent.
, which produces N95 masks and various other consumer and business products, fell 4.8% after reporting last – quarter earnings, which fell short of analysts’ expectations. McDonald’s MCD,
-2.48 percent.
lost 2.5 percent when it earned more than two-thirds of the previous year’s revenue in the spring.

Losses in high-tech inventories also helped reduce market share. Amazon AMZN CEOs
-1.79 percent
, Apple AAPL,
-1.64 percent
, Facebook FB,
-1.44 percent
and Google AdSense
-1.68 percent
The parent company intends to testify on Wednesday to a House committee investigating Big Tech’s market dominance.

Pfizer PFE
+ 3.94 percent
rose 3.9% after reporting last – quarter earnings, which exceeded expectations, although they were almost a third lower than a year ago. It also published its profit forecast for the full year after the launch of the late-stage trial of the experimental COVID-19 vaccine, which it is developing with its German partner BioNTech.

Rising coronavirus numbers are bringing a new wave of closures in many states, and investors expect Democrats and Republicans to agree to more aid for the approximately 16 million Americans receiving unemployment benefits, even though the two countries still seem far apart.

Comparative US crude oil CL00,
-0.19 percent.
fell slightly to $ 40.95 a barrel in e-commerce on the New York Mercantile Exchange. She lost 56 cents on Tuesday to $ 41.04 a barrel. Brent BRN00
-0.04 percent.
international standard, earned from 3 cents to $ 43.64 a barrel.

USDJPY,
-0.02 percent.
on Tuesday fell to 105.04 Japanese yen from 105.07 yen. EURUSUS,
+ 0.12%
cost $ 1.1728, just over $ 1.1718.


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