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Asia seen to open lower as oil sinks
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Loading...Asia looked set to open lower on Wednesday following MSCI's decision to add mainland Chinese stocks to its emerging markets index gradually and as oil prices slipped around 2 percent overnight.
MSCI said Tuesday it planned on adding China A-shares to its benchmark MSCI Emerging Markets Index.
Meanwhile, oil prices tumbled following news of an increase in production from producers including Libya and Nigeria.
Brent crude settled 89 cents down at $46.02 a barrel, its weakest settlement level since Nov. 15, Reuters said. U.S. West Texas Intermediate crude shed 97 cents to settle $43.23, its lowest level since September last year.
Major indexes on Wall Street closed lower as energy stocks were pressured by the fall in oil. The Dow Jones industrial average declined 0.29 percent or 61.85 points to close at 21,467.14, the S&P 500 shed 0.67 percent or 16.43 points to end at 2,437.03 and the Nasdaq fell 0.82 percent or 50.98 points to finish the session at 6,188.03.
The dollar traded close to a five-week high against a basket of rival currencies at 97.760 Against the yen, the dollar traded at 111.39, off a high of 111.50 seen earlier.
Pound sterling fell to a two-month low overnight after Bank of England Governor Mark Carney said the central bank would not be raising interest rates anytime soon due to uncertainty surrounding Brexit. The British pound, is traded near $1.2617.
Source: Bloomberg Pro Terminal
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