Asian stocks showed mixed results on Friday whilst sentiments in China improved after a sharp drop at Thursday close, due to the fact that the yield of 10-year government bonds reached 4%, although the trade was sluggish in the absence of US traders.
ShComp, index of Chinese blue chips fell 0.39%, while Hang Seng grew 0.28%. On Thursday the CSI 300 index fell 52 points in the last 45 minutes of trading, which was the biggest fall in the afternoon since the collapse of the Chinese stock market in January 2016.
The reason for the fall at the end of the auction is a combination of more stringent lending rules and rising bond prices. Experts say that the shares that were sold yesterday increased in price over the past weeks and still show good fundamental results, despite yesterday’s decline.
The Japanese index Nikkei 225 rose by 0.15%, while the Australian S&P/ASX sank 0.06%.