Asian stocks dropped, with the regional benchmark index trimming the biggest weekly advance since January, after companies including Li & Fung (494) Ltd. posted lower profit and as China reported export growth slowed more than economists’ expectations.
Agricultural Bank of China Ltd. fell 2.5 percent, leading Chinese creditors lower, after new loans last month came in less than analysts expected. Li & Fung plunged by a record in Hong Kong as reduced spending by U.S. and European shoppers drove down core operating profit at the supplier to Wal-Mart Stores Inc. Trend Micro Inc. (4704) slumped 9.1 percent in Tokyo after earnings fell at the maker of anti-virus software.
“We could see further weakening in China’s exports, damping the broader economy” Michiya Tomita, a Hong Kong-based fund manager at Mitsubishi UFJ Asset Management Co., which oversees $65 billion. “Investors will be adjusting their expectations downwards.”
SABIC contributes to national development
The Saudi Basic Industries Corporation (SABIC) sponsored the Industrial Innovation Award which was presented to developers of new ideas for industrial projects at a ceremony held in Riyadh on May 18.