Asian Shares Are Down to 7 Month Lows today. Today we saw regulation concerns jostle the Chinese equities markets. This happened while good U.S. corporate earnings drew money right out of burgeoning markets into Wall Street. Chinese blue chips declined 2.4% to the worst level in 10 weeks as the education and property divisions were hit hard by new regulation worries.
This had the effect of wounding MSCI’s broadest index of Asia-Pacific shares not in Japan. It decreased by 1.4% which is the lowest level since the beginning of the year. The Nikkei index reclaimed 1.4% but this did little to lift the seven-month low it had hit earlier. But the Nasdaq futures were stable today close to record heights. But S&P 500 futures declined slightly by 0.3%.
A little over 1/3 of S&P 500 listings are getting ready to report quarterly numbers this week. Masthead companies are Facebook Inc, Tesla Inc, Apple Inc, Alphabet Inc, Microsoft Corp, and Amazon.com. Not many of the S&P 500 companies have reported and 88% of firms have defeated or defied many predictions already. Oliver Jones is a senior markets economist with Capital Economics and he said U.S. earnings were estimated to be about 50% higher in 2023. This will beat out numbers that it held just before the pandemic began a few years ago.
“With so much optimism baked in, it seems likely to us that the tailwind of rising earnings forecasts, which provided so much support to the stock market over the past year, will fade,” he was careful to mention.
The week will be fraught with data from the United States that should highlight the economy’s better-than-expected numbers. Q2 GDP is predicted to show annualised growth of 8.6%, and the Fed’s most favorite technique of core inflation has prospered and increased interest 3.7% last month.
MetaNews has been daily reporting o the fluctuations of the market concerning COVID. We will keep our readers informed with the latest news. Asian Shares Are Down to 7 Month Lows today. we also saw many countries intensify many of their lockdown procedures.