23.06.201702:33:00UTC+00Asian Shares Trade Sideways as Heightened China Scrutiny

Asian stocks traded sideways Friday on news that China's banking watchdog increased its scrutiny over loans for overseas asset purchases and as crude prices slightly climbed after increasing 10-month lows overnight.

News reports mentioned that Chinese authorities had asked financial institutions to look into their exposure to Chinese entities engaged in huge acquisitions over the past few years. Also, oil prices recorded modest gains, although concerns remained over the supply glut in markets. US crude stood at $42.87, up 0.3%. Brent crude traded at $45.37, up 0.33%.

The Shanghai Composite Index, which trimmed previous losses, tumbled 0.2% after the news. Japan's Nikkei 225 gained 0.12%, while South Korea's Kospi increased 0.09%. Australian shares rose 0.06%. However, Shenzhen Composite lost 0.757%.