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Asian Markets Called Lower On Europe

The Asian stock markets are expected to open lower on Tuesday, thanks to ongoing economic concerns in Spain, the new epicenter of the lingering euro-zone debt crisis.

The Bank of Spain estimates that the country returned to recession in the first quarter - and as a result of the economic news, rating agency S&P downgraded its opinion on 16 Spanish banks.

Adding to the cautious sentiment, the latest figures put U.S. personal incomes up 0.4 percent in March, while spending advanced by 0.3 percent. Also, a survey showed that business activity in the Chicago area saw slower growth in April.

The U.S. markets finished lower on Monday as the Dow fell 14.68 points or 0.11 percent to finish at 13,213.63, while the NASDAQ dipped 22.84 points or 0.74 percent points to finish at 3,046.36 and the S&P 500 was down 5.45 points or 0.39 percent, closing at 1,397.91.

The European bourses also ended in the red. The DAX of Germany finished lower by 0.59 percent and the CAC 40 of France dropped by 1.64 percent. The FTSE 100 of the U.K. lost 0.68 percent and the SMI of Switzerland closed down by 0.33 percent.

The Asian markets ended mostly higher on Monday as Hong Kong's Hang Seng surged 1.70 percent, while Thailand spiked 1.38 percent, India jumped 0.76 percent, Indonesia gathered 0.4 percent, South Korea's KOSPI added 0.34 percent, Taiwan collected 0.28 percent and Malaysia was up 0.18 percent.

Singapore's Straits Times eased 0.10 percent, while the markets in China and Japan were on holiday.

Most of the regional bourses are closed on Tuesday for Labor Day, including South Korea, Malaysia, Singapore, Taiwan, China, Hong Kong, Thailand, India, Vietnam and the Philippines. They will re-open on Wednesday.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

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