The Decline Continues in Asia Markets as the US Government at Risk of Partial Shutdown!
With the overnight decline in the US stock market, Asia markets open lower.
Asia markets dropped on Friday morning following the overnight market rout on Wall Street that plunged Dow Jones by 464 points or almost 2%. S&P 500 slid 1.58% and NASDAQ sank 1.63%.
The negative sentiment hit stock markets as the US House of Representatives Speaker Paul Ryan said President Donald Trump would not sign a temporary government funding, asking for a $5 billion fund for border security defense. The statement raised the risk of a partial government shutdown. The bill must return to the Senate, where it is unlikely to find the Democratic votes needed to pass it.
To stomp the market even lower, the news of trade war concern spread as the US accused the Chinese government of carrying out industrial espionage through cyber warfare. Prosecutors charged Zhu Hua and Zhang Jianguo in hacking attacks against the U.S. Navy, the space agency NASA and the Energy Department and dozens of companies.
NIKKEI declined 1.34%, SSEC plunged 0.81%, HSI dipped 0.99%, ASX 200 slumped 1.17% and KOSPI skidded 0.21%. VIX Index raised 10.95%.
SET Index has a tendency to continue its decline, hitting by external factors from the US and China while the neighbouring countries also faced a downturn in their stock markets.