In This Article:
* Asia shares flat, Nikkei loses 0.5%
* China markets open only on Monday this week
* Asian stock markets: https://tmsnrt.rs/2zpUAr4
By Hideyuki Sano and Vidya Ranganathan
TOKYO/SINGAPORE, Sept 30 (Reuters) - Asian stock markets, including China's, were little changed on Monday, shrugging off news that the U.S. administration is considering delisting Chinese companies from U.S. stock exchanges.
MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.05% while China's Shanghai stock index slipped 0.2%, barely responding to any of the concerns around the latest Sino-U.S. tensions that caused the Nasdaq index to fall more than 1% on Friday.
Risk assets took a hit in U.S. trade on Friday following news the Trump administration is considering radical new financial pressure tactics on Beijing, including the possibility of delisting Chinese companies from U.S. stock exchanges.
The report knocked Chinese shares listed on U.S. exchanges, with Alibaba Group Holding falling 5.15% and JD.com 5.95% on Friday.
Worries such an escalation would hurt Japan the most however weighed on the Nikkei, which shed 0.45%. U.S. stock futures gained 0.44%, paring most of Friday's 0.53% fall in the index.
Trading in Chinese markets was quiet ahead of a long break. Chinese share markets will trade only on Monday this week ahead of the country's National Day holiday, which runs until Oct. 7.
There were mixed signals from China's manufacturing surveys on Monday, which showed sustained weakness in exports and surprising improvement in domestic consumption indicators, and a Chinese central bank statement briefly hinting at plans for more stimulative policies.
China's yuan was little moved at 7.1192 yuan per dollar, while the offshore yuan rallied a bit from Friday's three-week low of 7.1520.
The delisting of Chinese companies from U.S. stock exchanges was part of a broader effort to limit U.S. investment in Chinese companies, two sources briefed on the matter told Reuters.
A U.S. Treasury official said the United States does not currently plan to stop Chinese companies from listing on U.S. exchanges, Bloomberg reported on Saturday.
"While China runs a current account surplus and is a net creditor nation, Chinese companies are net debtors and rely on foreign capital," Koji Fukaya, president of Office Fukaya Consulting.
"Washington seems to be trying to limit Chinese companies' activities by putting pressure on their funding," he said.
Still, with trade talks between the United States and China expected to be held Oct. 10-11, many market players are hoping such drastic measures on capital markets will be avoided.