- Title: Asia shares swing higher, analyst says Evergrande not like Lehman situation
- Date: 27th September 2021
- Summary: TOKYO, JAPAN (SEPTEMBER 27, 2021) (REUTERS) SCREENS SHOWING TOKYO STOCK EXCHANGE LOGO/ SCREEN SHOWING NIKKEI 225 INDEX OPENING AT 30,277.82 POINTS SCREEN SHOWING NIKKEI 225 INDEX MOVEMENT SCREEN SHOWING VARIOUS INDICES SCREEN SHOWING STOCK PRICES SCREEN SHOWING VARIOUS INDICES VARIOUS OF ELECTRONIC TICKER SHOWING STOCK PRICES WORKING SPACE AT TOKYO STOCK EXCHANGE EXTERIOR OF TOKYO STOCK EXCHANGE TRAFFIC ON STREET PEDESTRIANS PASSING BY DIGITAL SCREEN SHOWING NIKKEI 225 INDEX HONG KONG, CHINA (SEPTEMBER 27, 2021) (REUTERS) VARIOUS OF TRAFFIC EXTERIOR OF HONG KONG EXCHANGE SQUARE STOCK TICKER SCREEN SHOWING HANG SENG INDEX EXTERIOR OF HONG KONG EXCHANGE SQUARE HONG KONG, CHINA AND HONG KONG STOCK EXCHANGE FLAGS FLYING (SOUNDBITE) (English) HEAD OF RESEARCH AND CHIEF STRATEGIST AT BOCOM INTERNATIONAL, HONG HAO, SAYING: "Even if you default, you know, the government can allow the bank to write down the capital position and therefore relax the bad loan stand and all that, so you know, to give the company a bit more leeway." VARIOUS OF PEOPLE WALKING ON FOOTBRIDGE (SOUNDBITE) (English) HEAD OF RESEARCH AND CHIEF STRATEGIST AT BOCOM INTERNATIONAL, HONG HAO, SAYING: "There are so many things you can do, right? So you know, for a company that takes about less than five percent of the Chinese property market and then at stake, no doubt about it, that it is not that big, and it's not unsolvable. This is really different from the Lehman situation. Because with the Lehman situation we had no idea what's involved. Because there's so much derivatives, so much leverage, I mean the leverage was substantially higher than this one. And also it was a global event. So I think, you know, even though the situation isn't where we want it to be, but then at the same time, don't overblow and exaggerate the situation." SHANGHAI, CHINA (SEPTEMBER 27, 2021) (REUTERS) ELECTRONIC BOARD IN FRONT OF PEARL TOWER ELECTRONIC BOARD SHOWING SHANGHAI COMPOSITE INDEX AND SHENZHEN COMPONENT INDEX ELECTRONIC TICKER BOARD STOCK INFORMATION ON ELECTRONIC TICKER BOARD ELECTRONIC TICKER BOARD ELECTRONIC TICKER BOARD SHOWING SHANGHAI COMPOSITE INDEX AND SHENZHEN COMPONENT INDEX ELECTRONIC TICKER BOARD STOCK INFORMATION ON ELECTRONIC TICKER BOARD SEOUL, SOUTH KOREA (SEPTEMBER 27, 2021) (REUTERS) VARIOUS OF PEOPLE WALKING ACROSS STREET INTERIOR OF DEALING ROOM AT KEB HANA BANK ELECTRONIC BOARD SHOWING KOREA COMPOSITE STOCK PRICE INDEX (KOSPI) DEALERS WORKING ELECTRONIC TICKER SHOWING KOSPI ELECTRONIC BOARDS SHOWING KOSPI AND USD/KRW EXCHANGE RATE DEALER SPEAKING OVER PHONE DEALING ROOM
- Embargoed: 11th October 2021 05:45
- Keywords: China Evergrande Hang Seng Hong Kong Japan KOSPI Nikkei 225 Seoul Shanghai Shanghai Composite Index Shenzhen Component Index South Korea Tokyo Tokyo Stock Exchange stocks
- Location: TOKYO, JAPAN/ SEOUL, SOUTH KOREA/ HONG KONG, SHANGHAI, CHINA
- City: TOKYO, JAPAN/ SEOUL, SOUTH KOREA/ HONG KONG, SHANGHAI, CHINA
- Country: Various
- Topics: Economic Events,Equities Markets
- Reuters ID: LVA001EWHU7UV
- Aspect Ratio: 16:9
- Story Text: Asian shares crept higher on Monday (September 27) as risk sentiment turned for the better, while an analyst in Hong Kong warned not to "overblow and exaggerate" the China Evergrande situation.
In Japan, the benchmark Nikkei 225 opened up 0.10 percent at 30,277.82 points, gaining on hopes for further fiscal stimulus once a new prime minister is chosen.
In Hong Kong, the Hang Seng index gained 291 points to 24,487. The Shanghai Composite Index started up, rising 12.89 points at 3625.96 points.
Chinese blue chips gained 1.1% as the country's central bank pumped more money into the financial system and investors dared to hope Beijing would limit the fallout from the troubled China Evergrande Group.
"Even though the situation isn't where we want it to be... don't overblow and exaggerate the situation," said the head of research and chief strategist at Bocom international, Hong Hao, noting that he disagreed with comparisons of Evergrande to the 2008 collapse of U.S. investment bank Lehman Brothers.
Meanwhile, in South Korea, the benchmark Korea Composite Stock Price Index (KOSPI) opened up 9.46 points, or 0.30% at 3,134.70 points as of 0054GMT.
(Production: Akira Tomoshige, Daewoung Kim, Xihao Jiang, Joyce Zhou, Pedja Stanisic, Minwoo Park, Angela Johnston)
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