The Asian Market opened at a negative territory on Monday, as investors raise concerns over the credit crunch in China and further concerns regarding the Federal Reserve’s plans to cut back on its asset-purchasing program.
The US data releases showed that the number of employment has increased and the Fed may proceed with slowing down the asset-purchasing program earlier than expected.
The Hong Kong Hang Seng, were lowered to 2.14% to 20,463.80, while the Topic Index fell 1.4% at 1,172.58. The Nikkei 225 lowered 1.40% at 14,109.34, while the Chinese Shanghai composite closed at 1.61% lower to 1,974.71 at the time of writing.
The Australian S&P/ASX 200 fell 0.65% lower at 4,810.20. In South Korea, the Kospi index lowered 0.90% at 1,816.85.
The Chinese State council announced it would toughen up supervision of the wealth management products and build up stability in the financial market.
Analysts predict that the money-market in China is likely to lower its credit growth by the end of the year to 750 billion.
In Japan, the weaker yen grew the import costs, while Japan’s account surplus lowered 540.7 billion in May, according to reports from the Ministry of Finance.
Exports in the month of May increased by 9.1%, as Japan’s service sentiment index dropped 53 points in June, from previous record of 55.7 in May.
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