In recent time, shares in major Asian stock markets slipped mostly after a sequence of conflicting reports on the U.S.-China trade war that surfaced overnight. The MSCI Asia ex-Japan index decrease by 0.14%, to 529.74. The Chinese markets improved partially from their previous losses but still finished their trading day at lowest, with the Shenzhen component dropping by 0.398% to 9,800.60 and the Shenzhen composite declining by 0.248% to 1,684.57. The Shanghai composite mostly closed at flat 3,090.64. Hang Seng index of Hong Kong decreased by 0.33% in its final hours of trading. The shares of Xiaomi—Chinese smartphone manufacturer—declined over 4.7% in spite of posting fourth-quarter proceeds.
In South Korea, the Kospi largely closed flat at 2,177.10 as SK Hynix—chip manufacturer—jumped by 3.68%. Australian ASX 200 closed at 0.32%, lower at 6,165.30. In Japan, the Nikkei 225 kicked off the general trend as it closed at 0.2% higher at 21,608.92, with shares of Fast Retailing—retail holding company—improving by 0.69%, whereas the Topix index finished its trading day at 0.26% higher at 1,614.39. Nintendo and Sony saw their stock declining by over 3%, after Google’s overnight proclamation of its video game streaming platform.
Speaking of the U.S.-China trade war, recently the USCC (United States Chamber of Commerce) warned that this war could cut US$1 Trillion from the U.S. financial system in a decade. Reportedly, the U.S.-China trade war is still continuing and if it continues for a decade till 2029 it could charge the American financial system US$1 Trillion. That is the warning comprised in a new report bespoke by the USCC, which estimates the swelling hit to the U.S. progress. The study was carried by the Rhodium Group and discloses the economic effects of three rounds of retaliatory tariffs and also evaluates the impact of a tariff surge to 25% on the US$200 Billion of Chinese goods.