Business
Asian markets slowed while the yuan fell short to a record low
China's Shanghai Composite Index ( SHCOMP ) fluctuated between small gains and losses. That is down 0.1% after a 1.3% rise on Monday.
Hong Kong's Hang Seng ( HSI ) also inch 0.1% lower after weak weakness on Monday. Last month, Hang Seng recorded a 7.4% drop – one of the worst among major global indices. The index has been weighed down by escalating trade tensions between the US and China as well as intensifying protests in the city.
Japan's Nikkei ( N225 ) rose 0.1[ads1]%, while South Korea's Kospi ( KOSPI ) drops 0.1%.
The Chinese yuan touched a record low in offshore trading early Tuesday morning – it briefly hit 7,196 yuan per US dollar, the lowest since it began trading outside of China, in 2010. It is now trading slightly higher at 7,177 per dollar, which is a bit stronger than Monday.
So far this year, the yuan has lost about 4.5% against the dollar in offshore trading, with the currency trading more freely.
Meanwhile, the land-based yuan traded around 7,855 per dollar Tuesday. It has also fallen around 4.5% this year.
Here's what happens elsewhere around 3 p.m. Hong Kong Time:
- The Australia Reserve of Australia left its cash rate unchanged at 1%. The decision was expected. "The outlook for the global economy is still reasonable," although there is still risk, the Governor of the Central Bank, Philip Lowe, said in a statement. Australia's S & P / ASX 200 index was down 0.1%.
- Xiaomi, the world's fourth largest smartphone manufacturer, jumped 5% in Hong Kong after announcing a buy-back plan for up to 12 billion Hong Kong dollars ($ 1.5 billion).
- South Korea revised its second-quarter GDP growth estimate on Tuesday. GDP expanded by 1% in the quarter compared to the first quarter, which is slightly lower than a previous estimate, the Bank of Korea said.
- The US markets were closed Monday due to the Labor Day holiday.
