Forexpros – Asian stocks dipped on Wednesday after investors sold on disappointing earnings results and forecasts, though stronger-than-expected U.S. retail sales figures offset the declines.
During Asian trading on Wednesday, Hong Kong’s Hang Seng Index was down 1.12%, Australia’s S&P/ASX200 was down 0.48%, while Japan’s Nikkei 225 Index was down 0.19%.
Social networking site Gree missed estimates, while China Life Insurance dipped on sagging revenue.
Cuts to earnings forecasts dampened stock indices across Asia as well, offsetting bullish sales figures out of the U.S.
The U.S. Commerce Department reported that retail sales jumped 0.8% in July after a 0.7% drop in June, outpacing market expectations for a 0.3% increase.
It was the first gain in four months.
Core retail sales, which exclude automobiles, rose 0.8% in July, well above market calls for a 0.4% increase and up from a 0.8% decline in June.
A separate report showed that U.S. producer prices rose at their fastest clip in five months in July, climbing 0.3% after a 0.1% increase the previous month.
Markets were expecting a 0.2% increase.
In Europe, Germany reported that its gross domestic product expanded by 0.3% in the second quarter, beating out expectations for 0.2% growth.
France, meanwhile, reported that its economy came in flat, beating expectations for a 0.1% contraction.
However, the eurozone economy as a whole contracted by 0.2% in the second quarter, in line with expectations and bringing the annualized rate of contraction to 0.4%.
In Hong Kong, top decliners included CITIC Pacific, down 3.12%, China Life Insurance, down 2.37%, and CLP Holdings, down 2.24%.
In Australia, top decliners included Alacer Gold, down 11.75%, Sims Metal Management, down 7.95%, and OZ Minerals, down 7.07%.
European stock futures indicated a lower opening.
France’s CAC 40 futures pointed to a loss of 0.16%, while Germany’s DAX 30 futures pointed to a loss of 0.18%. Meanwhile in the U.K., FTSE 100 futures indicated a loss of 0.26%.
Dow Jones Industrial Average futures were down 0.17% while the S&P 500 futures were down 0.20%.
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