The Asian stocks drop as the Japanese yen strengthened and Japan’s central bankers signify that the country could cope with the higher rate. The third largest carmakers’ in Asia , Nissan Motor , fell by 6.2% as yen gained against the dollar .While 361 Degrees International Ltd dropped by 9.1% and David Jones Ltd. Slid 1.2% .
The Chinese Shanghai Composite index increased by0.06 percent to 4,965.60, while Hong Kong’s Hang Seng index rose by 0.11perecent to 22,642.63.Australia’s S&P/ASX 200 closed down at 0.36% to 4,965.60, while in South Korea, Kospi closed at 0.33percent higher to 1,979.97.
The Japanese Nikkei 225 slid 3.22 percent to 14,142.65, while Topix Index (TPX) dropped 3.4percent to 1,154.07, extending its worst weekly decline in over a year. Both have risen over 30% this year, topping other major equity indexes.
The Japanese market has indicated a record of losses after the Bank of Japan (BoJ) Governor Haruhiko Kuroda said yesterday “no sign at this point of excessively bullish expectations on asset markets or in the activities of financial institutions.”
Some of the board members of the Bank of Japan said in the late April the central bank should continue to consider steps to avoid the decrease in the liquidity in the Japanese government bond market.
“Regarding the effects of JGB purchases on liquidity in the JGB and repo market, a few members … expressed the opinion that it should continue to deliberate on measures to prevent a decline in liquidity,” the summary of the meeting released showed.
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