Asian Stocks Mixed After Chinese Stimulus

By Trey Thoelcke Published Aug 21, 6:09AM EDT

Asian stocks were mixed as China moved to alleviate a cash crunch and ahead of U.S. reports that are expected to show the world’s biggest economy is improving.

China’s Shanghai Composite Index added 0.5%. Hong Kong’s Hang Seng Index and Japan’s Nikkei Stock Index dropped 0.2%.

China’s central bank increased reverse-repurchase operations today to ease a cash crunch by injecting 150 billion yuan ($24 billion) using seven-day contracts and a further 70 billion yuan with 14-day agreements. That is the largest injection since July 3. And Economic Information Daily said China is considering measures to boost domestic consumption this year, such as encouraging the use of credit.

Toyota Motor Corp. (NYSE: TM), the world’s biggest carmaker, gained 0.5% in Tokyo. Konami Corp. (NYSE: KNM) rose 3.6%, while Nintendo Co.,advanced 2.2% after it released its 3DS XL portable game system in the United States. Japanese shipping firm Mitsui OSK Lines Ltd. was down 2.7% after an analyst’s downgrade.

Apple Inc. (NASDAQ: AAPL) suppliers Hon Hai Precision Industry Co. gained 1.3% and Foxconn Technology Co. added 1% in Taipei. Taiwan Semiconductor Manufacturing Co. (NYSE: TSM), the world’s largest contract manufacturer of computer chips, rose 1.5% in Taipei. Asia Pacific Breweries Ltd. surged 4.8 percent in Singapore after Heineken NV raised its offer for a controlling stake in the maker of Tiger beer. PICC Property & Casualty Co. added 7.3% in Hong Kong after China’s biggest non-life insurer posted higher first-half earnings. But Cnooc Ltd. (NYSE: CEO), China’s biggest offshore oil and gas explorer, dropped 3% after it reported that its first-half profit fell 19% year over year.

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About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.