Asian stocks fall as China reacts to US tariffs

Published: September 12, 2018 11:46:29 | Updated: September 14, 2018 12:19:16

Asian shares fell on Wednesday as China delayed issuing licenses to American businesses hoping to operate in the country, as the threat of more trade tariffs from Washington loomed.

The approach of Hurricane Florence on the East Coast and upcoming sanctions on Iran's energy industry lifted oil prices. Benchmark US crude surged past $70 a barrel.

Japan's benchmark Nikkei 225 lost 0.4 per cent to 22,571.76, and the Kospi in South Korea fell 0.2 per cent to 2,279.70. Hong Kong's Hang Seng index was 0.2 per cent lower at 26,372.02.

The Shanghai Composite index fell 0.3 per cent to 2,656.26. Australia's S&P/ASX 200 shed 0.1 per cent to 6,173.30, reports AP.

US stock indexes finished higher as big technology companies like Apple and Amazon rose for a second day after declining last week. The broad S&P 500 index rose 0.4 per cent to 2,887.89.

The Dow Jones Industrial Average gained 0.4 per cent to 25,971.06, and the Nasdaq composite was 0.6 per cent higher at 7,972.47.

Oil prices extended their gains on Wednesday. Benchmark US crude added 85 cents to $70.10 a barrel. The contract gained 2.5 per cent to $69.25 per barrel in New York.

Brent crude, used to price international oils, gained 57 cents to $79.63 a barrel. It jumped 2.2 per cent to $79.06 a barrel in London on Tuesday.

The dollar fell to 111.48 yen from 111.59 yen. The euro rose to $1.1592 from $1.1586.

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