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Sunday, February 9, 2020

Asia stocks decline as investors monitor the virus' potential impact on Chinese manufacturing - CNBC

Stocks in Asia declined in Monday morning trade, as investors monitor the ongoing virus outbreak's impact on Chinese manufacturers. Factories in China were set to return to work on Monday, but many are expected to remain shut for longer.

In Japan, the Nikkei 225 slipped 0.69% in early trade while the Topix index declined 0.75%. South Korea's Kospi also fell 1.15%.

Meanwhile, stocks in Australia were lower in morning trade, with the S&P/ASX 200 declining 0.45%.

Overall, the MSCI Asia ex-Japan index traded 0.4% lower.

Investors will watch for the release of Chinese inflation data for January, with the Consumer Price Index and Producer Price Index set to be out around 9:30 a.m. HK/SIN on Monday.

Developments on the ongoing coronavirus outbreak will also continue to be watched, with the death toll from the disease overtaking that of SARS over the weekend.

Factories in China are scheduled to reopen on Monday after an extended holiday because of efforts to control the new coronavirus, though many are expected to remain shut for longer.

That could mean further disruptions to supply chains for many companies. Quarantines and other measures put in place to contain the outbreak could continue to disrupt electronics manufacturing well into the 2020 holiday season, even if factories quickly return to full production, manufacturing experts said.

Currencies and oil

The U.S. dollar index, which tracks the greenback against a basket of its peers, was last at 98.652 after rising from levels below 97.6 last week.

The Japanese yen traded at 109.63 per dollar after seeing an earlier low of 109.84. The Australian dollar changed hands at $0.667 after declining from highs above $0.672 last week.

Oil prices were lower in the morning of Asian trading hours, with international benchmark Brent crude futures down 1.01% to $53.92 per barrel. The U.S. crude futures contract also shed 0.97% to $49.83 per barrel.

Here's a look at what's on tap on Monday:

  • China: Consumer Price Index and Producer Price Index for January at 9:30 a.m. HK/SIN

— CNBC's Eunice Yoon and Kif Leswing contributed to this report.

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Asia stocks decline as investors monitor the virus' potential impact on Chinese manufacturing - CNBC
"asian" - Google News
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