Asian Stock Markets Balk at COVID-19 Variant Omicron

Asian stock markets balked Monday at the uncertain outlook for global commerce given the rapid spread of the Omicron variant of the COVID-19 virus. Hong Kong and Japan fell back, although Shanghai was even, while other regional exchanges mostly finished lower.

In Japan, the Nikkei 225 see-sawed but finished off 1.6% after Prime Minister Fumio Kishida near midday said his administration will ban foreign visitors beginning on Tuesday due to concerns regarding the Omicron variant of the coronavirus.

The benchmark Nikkei 225 declined 467.70 to 28,283.92, as losing issues outnumbered gainers 210 to 14.

In economic news, October retail sales in Japan rose 0.9% from a year earlier, although largely due to an increase in the cost of fuel. Excluding fuel, October sales declined 1.2% from a year earlier, reported the Ministry of Economy Trade & Industry.

In other news, automaker Nissan said it plans to introduce a less-costly solid-state vehicle battery by 2028, and aims for 50% of vehicles sold to be battery-powered or hybrids by fiscal year 2030.

The Hong Kong Hang Seng Index opened lower, rallied but then fell in the afternoon to finish off 0.95% as traders again took to sidelines on uncertain prospects given the evolving COVID-19 pandemic. Macau casino issues retreated on a possible new Beijing crackdown on illegal cross-border gambling junkets, reported the South China Morning Post.

The broad gauge Hang Seng struck a one-year low, falling 228.28 to 23,852.24, as losing issues outnumbered gainers 37 to 17. The Hang Seng TECH Index fell 0.9% on the day, as did the Mainland Properties Index.

On the mainland, the Shanghai Composite traded evenly, closing at 3,562.70.

On the other exchanges, the S. Korean KOSPI fell 0.9%; the Taiwan TWSE declined 0.2%; the Australian ASX 200 declined 0.5%; the Singapore Straits Times Index fell 1.4%, and the Thai Set declined 1.3%. In late trading in Mumbai, the Sensex was up 0.3%.