Stock indices of the countries of the Asia-Pacific region ended trading on Monday with multidirectional dynamics.
China’s Shanghai Composite closed down 0.04%, while Hong Kong’s Hang Seng rose 0.42%.
The People’s Bank of China (PBOC, Central Bank) has kept the base interest rate on loans (LPR) for a period of one year at 3.7% per annum. The rate on five-year loans was also kept at 4.45% per annum after a 15 bps cut a month earlier.
Most analysts expected the LPR to remain unchanged, according to Trading Economics and MarketWatch, as last week the NBK also decided to leave the MLF loan rate unchanged at 2.85% per annum.
On the announcement of maintaining interest rates, shares of Chinese developers won and became among the growth leaders: papers of China Resources Land Ltd. rose 8.4%, China Overseas Land & Investment Ltd. – by 9%, Seazen Group Ltd. – by 14%, China Vanke Co. — by 2.4%. Keeping the LPR unchanged means that Chinese buyers will be able to take advantage of cheaper mortgages, and that “should spark a boost in demand and real estate sales,” CGS-CIMB Securities analyst Raymond Cheng said.
At the same time, the papers of casino operators fell sharply after the Macau authorities announced mass testing for coronavirus due to the outbreak of COVID-19. Shares of Sands China Ltd. fell 2.2%, Wynn Macau Ltd. – by 3.4%, SJM Holdings Ltd. — by 3.2%.
Capitalization of the Chinese technology company NetEase Inc. fell 6.7% after the company delayed the launch of a new Diablo Immortal game in China.
The price of securities of technological JD.com Inc. (NASDAQ:JD) fell 2.6%. The head of the company’s retail division, Xin Lijun, told Bloomberg TV that JD plans to create its own food delivery service.
The Japanese Nikkei 225 fell 0.7%.
Shares of the oil and gas company Inpex Corp. were among the leaders of the decline in quotations. (-9.4%), machine-building Mitsubishi Heavy Industries Ltd. (-9.2%) and Kawasaki Heavy Industries Ltd. (-7.8%).
South Korea’s Kospi fell 2%.
The market value of automaker Kia Corp. (KS:000270) decreased by 0.8%, Hyundai Motor (KS:005380) — rose by 0.3%. Capitalization of one of the world’s largest manufacturers of chips and consumer electronics Samsung Electronics Co. (KS:005930) fell 1.8%.
The Australian S&P/ASX 200 fell 0.6%.
The drop leaders among the components of the index were shares of mining and energy companies: Paladin Energy Ltd. (-13%), Champion Iron Ltd. (-12%), Silver Lake Resources Ltd. (-9.9%) and Fortescue Metals Group (ASX:FMG) Ltd. (-8.6%).
Mall operator Vicinity Centers surged 6.3% after the company improved its full-year financial guidance on stronger Australian retail sales and improved store lease agreements.
Papers bookmaker PointsBet Holdings Ltd. jumped 18.6% on news of the purchase of a 13% stake in investment company Susquehanna International Group LLP.