AUSTRALIA: Risk aversion forces markets to sell over Japan crisis

Record ID: 342828

  • Title: AUSTRALIA: Risk aversion forces markets to sell over Japan crisis
  • Date: 17th March 2011
  • Summary: SYDNEY, AUSTRALIA (MARCH 16, 2011) (REUTERS) CHARITY WORKERS COLLECTING DONATIONS FOR JAPAN VARIOUS OF DIGITAL BOARD DISPLAYING STOCK PRICES THOMSON REUTERS FOREX ANALYST KRISHNA KUMAR WORKING AT HIS DESK (SOUNDBITE) (English) THOMSON REUTERS FOREX ANALYST KRISHNA KUMAR SAYING: "Well, the unfortunate instance in Japan could not have come at a worst time for the Austra
  • Embargoed: 1st April 2011 13:00
  • Keywords:
  • Location: Australia, Australia
  • Country: Australia
  • Topics: Disasters / Accidents / Natural catastrophes,Economic News
  • Reuters ID: LVA2WODMTXSZLPZVX24I7K3W1C3
  • Story Text: Australian markets remained cautions on Wednesday (March 16) over growing crisis in Japan following Friday's (March 11) quake and tsunami while charities began collecting donations on the streets of Sydney.
    Volunteers of a Buddhist charity took the streets of central Sydney in an effort to raise money for Japan's recovery efforts.
    Australian shares were steady in early trade, with miners rebounding from a pounding over the past two days that was seen as a knee-jerk reaction to Japan's nuclear crisis, while banks continued to slip.
    The benchmark S&P/ASX 200 index <.AXJO> picked up 1.2 points to 4,529.9 as of 2319 GMT, having dropped 5.8 percent over the previous five sessions.
    "Well, the unfortunate instance in Japan could not have come at a worst time for the Australian stock markets, they were already under pressure last week, this has exacerbated the decline and I expect bit more selling in the markets, today there may be a knee-jerk reaction higher and there was a post of lead while Wall Street going into close, so I expect the ASX to rally back about 4600 to 650, but this not a time to be looking to buy stocks because the risk aversion is still on the table and nobody knows about the situation in Japan and as far as the currency is concerned we have had a very major decline in vicinity of three cents and once again the investors have been shaken out of their positions a bit," Thomson Reuters Forex Analyst Krishna Kumar said.
    Some 150 Australians were still missing in Japan, media reported. The unfolding nuclear crisis also gave impetus to the Greens ahead of the state elections in new South Wales. Several campaign banners across Sydney were spotted with party slogans over energy policies.
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2011. Open For Restrictions - http://about.reuters.com/fulllegal.asp
  • Usage Terms/Restrictions: None
Register