CANBERA (dpa-AFX) - Asian stock markets are in negative territory on Wednesday following the weak cues overnight from Wall Street amid worries about escalating U.S.-China trade tensions. U.S. Trade Representative Robert Lighthizer confirmed that the U.S. plans to raise tariffs on $200 billion worth of Chinese goods to 25 percent on Friday.
The Australian market is declining amid worries about rising U.S.-China trade tensions.
The benchmark S&P/ASX 200 Index is losing 39.60 points or 0.63 percent to 6,256.10, after touching a low of 6,241.50 earlier. The broader All Ordinaries Index is lower by 43.70 points or 0.68 percent to 6,339.80. Australian shares closed modestly higher on Tuesday.
In the mining space, Fortescue Metals is lower by almost 2 percent, BHP Group is declining almost 1 percent and Rio Tinto is down 0.2 percent.
Oil stocks are also weak after crude oil prices declined overnight. Santos is lower by more than 1 percent, while Oil Search and Woodside Petroleum are losing almost 1 percent each.
The big four banks are also edging lower. Commonwealth Bank, National Australia Bank, ANZ Banking and Westpac are down in a range of 0.1 percent to 0.2 percent.
Bucking the trend, gold miners are advancing after the price of safe-haven gold edged higher overnight. Evolution Mining is gaining 3 percent and Newcrest Mining is rising almost 2 percent.
CSR reported a 59 percent fall in full-year profit, hurt by higher electricity costs and losses related to the sale of its Viridian Glass business, while revenues rose 4 percent. The construction materials supplier's shares are declining more than 1 percent.
Vehicle retailer Automotive Holdings Group has urged its shareholders to accept an improved takeover offer from rival A.P. Eagers, saying it is in the best interest of the shareholders. Shares of Automotive Holdings are down 0.4 percent, while A.P. Eagers' shares are lower by almost 1 percent.
In the currency market, the Australian dollar is lower against the U.S dollar on Wednesday. The local currency was quoted at $0.7011, down from $0.7035 on Tuesday.
The Japanese market is extending losses from the previous session and the safe-haven yen strengthened as worries about U.S.-China trade tensions intensified.
The benchmark Nikkei 225 Index is losing 336.95 points or 1.54 percent to 21,586.77, after touching a low of 21,546.57 earlier. Japanese shares tumbled on Tuesday as trading resumed after a ten-day holiday.
The major exporters are mostly lower on a stronger safe-haven yen. Mitsubishi Electric and Panasonic are losing more than 1 percent each, and Canon is declining almost 1 percent, while Sony is edging up 0.1 percent.
Among tech stocks, Advantest is losing almost 2 percent and Tokyo Electron is declining more than 1 percent. China-related industrial machinery companies such as Komatsu and Fanuc are losing more than 4 percent and almost 2 percent, respectively.
In the auto space, Toyota and Honda are down almost 2 percent. Among the major banks, Mitsubishi UFJ Financial is lower by almost 2 percent and Sumitomo Mitsui Financial is down more than 1 percent.
In the oil sector, Japan Petroleum is lower by more than 1 percent and Inpex is losing almost 1 percent after crude oil prices declined overnight.
Among the other major gainers, Tokai Carbon is advancing almost 2 percent, while Yahoo Japan and Kawasaki Kisen Kaisha are higher by more than 1 percent each.
On the flip side, Yamaha Motor is losing more than 11 percent and Mitsui Mining & Smelting is lower by almost 6 percent. Komatsu and Chiyoda Corp. are declining more than 5 percent each.
In the currency market, the U.S. dollar is trading in the lower 110 yen-range on Wednesday.
Elsewhere in Asia, Singapore is declining more than 1 percent, while Shanghai and Hong Kong are losing almost 1 percent each. South Korea, New Zealand, Indonesia, Malaysia and Taiwan are also lower.
On Wall Street, stocks closed notably lower on Tuesday as selling pressure was reignited after U.S. Trade Representative Robert Lighthizer confirmed the U.S. plans to raise tariffs on $200 billion worth of Chinese goods to 25 percent on Friday. The confirmation of the Friday deadline may have shattered the belief that the threat from President Donald Trump was just a negotiating tactic.
The Dow tumbled 473.39 points or 1.8 percent to 25,965.09, the Nasdaq plunged 159.53 points or 2 percent to 7,963.76 and the S&P 500 slumped 48.42 points or 1.7 percent to 2,884.05.
The major European markets all showed significant moves to the downside on Tuesday. The U.K.'s FTSE 100 Index, the French CAC 40 Index and the German DAX Index all plunged by 1.6 percent.
Crude oil prices drifted lower on Tuesday as global growth concerns rose amid rising U.S.-China trade war tensions. WTI crude for June ended down $0.85 or 1.4 percent at $61.40 a barrel on the New York Mercantile Exchange, the weakest settlement price since March 29.
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