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MTECHTIPS:-Asia stocks turn lower amid concerns over corporate earnings
Asian stock markets turned lower during late Asian trade on Monday, as concerns over disappointing corporate earnings results from companies in the region continued to weigh on appetite for equities.
During late Asian trade, Hong Kong's Hang Seng Index fell 0.4%, Australia’s ASX/200 Index ended up 0.1%, while Japan’s Nikkei 225 Index closed little changed.Asian markets opened higher, as investors reacted to stronger-than-forecast U.S. third quarter growth data released Friday.The Commerce Department reported that the U.S. economy grew by a better-than-expected 2% in the three months to September, on the back of stronger consumer spending, after expanding by 1.3% in the preceding quarter.But market sentiment remained vulnerable amid concerns over the outlook for global growth and its impact on corporate earnings.In Tokyo, the Nikkei came off earlier highs after Honda cut its fiscal-year earnings outlook to JPY375 billion from a previous forecast ofJPY470 billion, citing lower-than-expected sales and a strong Japanese currency. Honda shares lost 4.65%.The downbeat outlook weighed on other shares in the sector, with Toyota and Nissan slumping 1.6% and 2.2% respectively.Mobile phone operator NTT DoCoMo dropped 6% after it slashed its full-year operating profit forecast by almost 9% to JPY820 billion, citing tough market competition.
Asian stock markets turned lower during late Asian trade on Monday, as concerns over disappointing corporate earnings results from companies in the region continued to weigh on appetite for equities.
During late Asian trade, Hong Kong's Hang Seng Index fell 0.4%, Australia’s ASX/200 Index ended up 0.1%, while Japan’s Nikkei 225 Index closed little changed.Asian markets opened higher, as investors reacted to stronger-than-forecast U.S. third quarter growth data released Friday.The Commerce Department reported that the U.S. economy grew by a better-than-expected 2% in the three months to September, on the back of stronger consumer spending, after expanding by 1.3% in the preceding quarter.But market sentiment remained vulnerable amid concerns over the outlook for global growth and its impact on corporate earnings.In Tokyo, the Nikkei came off earlier highs after Honda cut its fiscal-year earnings outlook to JPY375 billion from a previous forecast ofJPY470 billion, citing lower-than-expected sales and a strong Japanese currency. Honda shares lost 4.65%.The downbeat outlook weighed on other shares in the sector, with Toyota and Nissan slumping 1.6% and 2.2% respectively.Mobile phone operator NTT DoCoMo dropped 6% after it slashed its full-year operating profit forecast by almost 9% to JPY820 billion, citing tough market competition.
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