Protests in China depress stock markets in Asia

Tokyo The protests in China against the strict corona restrictions at the start of the week are increasing investors’ concerns about how the virus will be dealt with in the world’s second largest economy. The country’s corona policy and the resulting protests give rise to fears that the economic damage to China will be greater than expected.

“The market doesn’t like uncertainties that are difficult to assess, and the protests in China clearly fall into that category. That means investors are becoming more risk-averse,” said Gary Ng, economist at Natixis in Hong Kong. “China-linked markets across Asia, such as Australia, Hong Kong, Taiwan and Korea, are likely to feel a greater impact.” Case numbers in China had peaked for the third straight day on Monday, with more than 40,000 new infections.