Asian Stocks Down on the Back of Historic Oil Slump By

© Reuters.

By Gina Lee – Asian stockslid on Tuesday morning as they reacted to oil’s slide into negative territory in the previous session.

In a “devastating day” for the industry, WTI futures for May delivery slumped to -$37.63 ahead of the contract’s expiry on Tuesday.

But there were other factors moving the stocks as well.

The dropped 1.77% by 11:01 PM ET (4:01AM GMT) as Virgin Australia Holdings Ltd (ASX:) announced that the firm has entered voluntary administration to “recapitalise the business and help ensure it emerges in a stronger financial position on the other side of the COVID-19 crisis.”

The Reserve Bank of Australia also released the minutes for its April meeting earlier in the day, which affirmed that its board remained committed to supporting jobs, incomes and businesses” as the country responds to the coronavirus outbreak.

It also added that “the Australian banks were in a strong position to withstand the large economic shock” from the COVID-19 pandemic and the resultant financial market volatility.

South Korea’s lost 1.71% as reported abounded that North Korean leader Kim Jong Un is in grave danger after surgery while Japan’s  dropped 1.98%.

In Greater China, Hong Kong’s  slid 2.31%. China’s  lost 1.06% while the  dropped 1.34%%.

Investors are also monitoring news that lockdowns in some countries are being eased, and the COVID-19 death toll in New York as well as other parts of the world is decreasing.

Meanwhile, the U.S. Congress said overnight that it is close to agreeing on a new spending package to help with the virus’ economic impact. 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Be the first to comment

Leave a Reply

Your email address will not be published.