TEMPO.CO, Tokyo - Most markets in the Asia posted correction yesterday due to the decline in crude oil prices, which dropped to below US$ 80 a barrel, the lowest in the past 28 months.
Crude oil prices plunged after Goldman Sachs Group Inc. cut its 2015 forecast for West Texas Intermediate's benchmark price by US$15 to US$75 per barrel. The cut was made based on the increase in global oil supply.
Goldman also predicted that the Organization of Petroleum Exporting Countries (OPEC) countries will lose influence on the global oil market amid high oil supplies in the United States.
"We believe that OPEC will no longer act as the first-mover swing producer and that U.S. shale oil output will be called upon to fill this role," Goldman said in the report as quoted from nasdaq.com.
Asian stock exchanges were also affected by the planned meeting of the Federal Open Market Committee (FOMC). Analysts estimated the meeting will result in Fed announcing to keep its benchmark rate at record low. The Fed is also likely to end its third quantitative easing this month.
In Japan, the Nikkei index fell 0.38 percent (58.81 points) to 15,329.91 bps, triggered by the yen depreciation against the greenback. In Seoul, the KOSPI dropped 0.33 percent (6.29 points) to 1,925.68 bps. The Singapore Straits Times also weakened; closing 0.38 percent (12.11 points) lower to 3,214 bps. Meanwhile, the Jakarta Composite Index fell 0.39 percent (19.705 points) to close yesterday's trade at 5,004.587 bps.
Two Chinese bourses, however, posted gains. The Hang Seng Hong Kong Index rose 1.63 percent (377.13 points) to 23,520.36 bps while the Shanghai Composite Index gained 2.07 percent (47.43 points) to 2,337.87 points.
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