---
title: "Stocks mixed on China reopening, recession fears: markets wrap"
description: "Stocks in Asia fluctuated following signs China would further relax its Covid restrictions, while Treasuries flashed warning signs of recession. The dollar strengthened in an indication of demand for havens."
type: "NewsArticle"
publisher: "Daily Maverick"
site: "https://www.dailymaverick.co.za"
section: "Business Maverick"
author: "Bloomberg"
author_url: "https://www.dailymaverick.co.za/author/bloomberg/"
canonical_url: "https://www.dailymaverick.co.za/article/2022-12-08-stocks-mixed-on-china-reopening-recession-fears-markets-wrap/"
published: "2022-12-08T05:49:42"
lang: "en-ZA"
word_count: 276
---

# Stocks mixed on China reopening, recession fears: markets wrap

> Stocks in Asia fluctuated following signs China would further relax its Covid restrictions, while Treasuries flashed warning signs of recession. The dollar strengthened in an indication of demand for havens.

By Bloomberg · Published 8 December 2022, 07:49 SAST

## Content

Equities in Japan, Australia and South Korea dropped, along with futures for US and European benchmarks. Stocks in Hong Kong rose after media reports that mask-wearing requirements would be scrapped. Shares in mainland China seesawed.

The dollar resumed gains after a small decline on Wednesday. The offshore yuan held below the 7 level to the greenback as investors continued to balance China easing Covid restrictions and a dimming outlook for the global economy.

Bonds rose in Australia, with the 10-year yield falling 3 basis points to 3.33%. Treasury yields of the same maturity rose after a sharp decline in the prior session.

Chinese regulators asked the nation’s biggest insurers to buy bonds being offloaded as retail customers pull their cash from fixed-income investments, [according](https://www.bloomberg.com/news/articles/2022-12-08/china-asks-insurers-to-buy-bonds-as-retail-investors-pull-back) to people familiar with the matter.

Iris Pang, chief economist for Greater China at ING Groep NV, said China’s economy would face further strain next year despite relaxed Covid restrictions.

“The manufacturing sector in 2023 is not going to look good because of the very weak export sector and a likely recession in the US and Europe,” she said in an interview with Bloomberg Television. “We can’t be too optimistic for retail sales to boost growth in 2023. It may happen in the second half but not in the first half.”

Elsewhere in markets, [oil rose](https://www.bloomberg.com/news/articles/2022-12-08/oil-edges-higher-after-four-day-retreat-as-traders-look-to-china) after a four-day drop as investors weighed the impact of China’s moves to ease virus curbs against a looming US slowdown.

Gold was little changed after rising 0.9% in the previous session on weakness in Treasury yields, with traders looking to Friday’s US producer price report to gauge the Federal Reserve’s next monetary policy moves. **BM/DM**