Forexpros – Asian stocks were largely lower on Wednesday after global mining giant BHP Billiton said it expected iron ore demand from China to flatten over the next years, which sent share prices falling on fears the large Asian economy is due for cooler growth rates.
During Asian trading on Wednesday, Hong Kong’s Hang Seng Index was up 0.30%, Australia’s S&P/ASX200 was down 0.05%, while Japan’s Nikkei 225 Index was down 0.21%.
Prior to opening bells in Asia on Wednesday, BHP Billiton said Chinese demand for iron ore, a key component to making steel, should tend to flatten towards 2020 although prices should remain firm.
Such talk, a hint China’s red-hot growth days may be ending, dampened spirits in Asian equities markets, sending mining stocks down especially.
Old-fashioned profit-taking sent Japanese shares falling especially, as stock prices have rallied for a while now on sentiment that the economy will improve in the United States, a key export market.
In Hong Kong, top gainers included CHALCO, up 4.49%, HK & China Gas, up 2.50%, and China Mobile, up 1.94%.
In Australia, the top decliners included David Jones, down 10.62%, Medusa Mining, down 9.90%, and Intrepid Mines, down 4.44%.
European stock futures indicated a higher opening.
France’s CAC 40 futures pointed to a gain of 0.53%, while Germany’s DAX 30 futures signaled a gain of 0.36%. Meanwhile, in the U.K., the FTSE 100 futures indicated a gain of 0.16%.
Dow Jones Industrial Average futures were up 0.32% while the S&P 500 futures were up 0.35%.
Later Wednesday, New Zealand is to produce government data on gross domestic product, the broadest measure of economic activity and the foremost indicator of the economy’s health, while Japan will unveil numbers on its trade balance.
Also on Wednesday, the U.S. is to release industry data on existing home sales, a leading indicator of economic health, as well as official data on crude oil stockpiles.
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