SMIC shares in Hong Kong plunge following reports of U.S. sanctions; Asia-Pacific markets edge higher


SINGAPORE — Hong Kong-listed shares of Chinese chipmaker SMIC plunged in Monday morning trade following reports that the U.S. has imposed restrictions on exports to the firm due to risks of military use.

In early trade on Monday, shares of SMIC listed in the city dropped more than 6%. The Hang Seng index rose 0.28%.

Mainland Chinese stocks were also higher, with the Shanghai composite up about 0.3% while the Shenzhen component added 0.3%.

China’s industrial profits rose 19.1% in August, the country’s National Bureau of Statistics announced over the weekend. Chinese economic data has been watched by investors for signs of the country’s continued recovery from the coronavirus pandemic.

Elsewhere in Japan, the Nikkei 225 added 0.64% while the Topix index gained 0.71%. South Korea’s Kospi rose 0.95%.

Over in Australia, the S&P/ASX 200 was below the flatline.

Overall, the MSCI Asia ex-Japan index traded 0.4% higher.

Meanwhile, the situation surrounding the pandemic elsewhere could also weigh on investor sentiment. Europe is now facing the prospect of a double-dip recession as it grapples with a coronavirus second wave. Over in the U.S., new daily coronavirus cases topped 1,000 in New York state on Saturday — the first time new infections in the state passed the 1,000 mark since early June.

Currencies and oil

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 94.573 after rising from levels below 93.0 last week.

The Japanese yen traded at 105.43 per dollar following a weakening last week from levels below 105 against the greenback. The Australian dollar changed hands at $0.705 after sliding from levels above $0.72 last week.

Oil prices were lower in the morning of Asian trading hours, with international benchmark Brent crude futures down about 0.3% to $41.79 per barrel. U.S. crude futures also shed 0.52% to $40.04 per barrel.

— CNBC’s Yun Li contributed to this report.



Source link

Discover

Sponsor

Latest

Chevy Corvette C8 Grand Sport spy photos show wide tires

At first glance, the C8 Chevy Corvette prototype you see above doesn't seem to look too different from old camouflaged cars or even...

Germany says French, Swedish labs confirm Navalny’s Novichok poisoning

Opposition activist Alexei Navalny seen outside Moscow's Tverskoi District Court in December 2019.Mikhail Tereshchenko | TASS | Getty ImagesLaboratories in Sweden and France...

Hybrid Mercedes-AMG S63e caught in new spy photos

With the new S-Class officially in production, Mercedes-Benz is hard at work developing its more fascinating variants. This Mercedes-AMG S63e plug-in hybrid is...

Under European Union green finance rules, hybrids aren’t “sustainable”

BRUSSELS/LONDON — Car manufacturers will need to meet tight emissions limits for their activities to be classified as a sustainable investment under proposed...

Audi TT RS 40 Years of Quattro gets fierce body, limited production

To celebrate the 40th anniversary of its all-wheel-drive system, Audi has created a special edition of the Audi TT RS. And it's appropriately,...