Asia’s major stock indexes saw a mixed day on Tuesday with bargain-buyers making their move in some corners while bets on a Beijing stimulus push lifted the mood elsewhere.
The profit-takers were at their busiest in Japan where the Nikkei share average fell after the benchmark index closed at a 33-year high in the previous session, while a market holiday in the US added to the cautious mood.
The Nikkei closed down 0.98% at 33,422.52, after ending at 33,753.33, its highest close since March 1990, on Monday. Japan’s broader Topix index declined 0.62% to 2,306.37.
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Almost every Nikkei sector fell, led by a 3.43% slide in healthcare. Financials, however, jumped 1.69%, tracking gains in US peers overnight as they raised dividends after sailing through annual stress tests.
China and Hong Kong stocks notched small gains as investors bet the country would take more measures in July to shore up its economy.
The National Development and Reform Commission, China’s top economic regulator, has pledged to tackle issues faced by enterprises and create a better development environment for the private sector, the state-run China Daily reported.
Meanwhile, US Secretary of Treasury Janet Yellen and Xie Fang, China’s ambassador to the United States, held a “frank and productive discussion” on Monday ahead of Yellen’s scheduled travel to Beijing this week, the US Department of Treasury said.
The Shanghai Composite Index edged up 0.04%, or 1.37 points, to 3,245.35, while the Shenzhen Composite Index on China’s second exchange was ahead 0.42%, or 8.69 points, to 2,068.82.
Hong Kong-listed tech giants gained 0.9% and the Hang Seng Index gained 0.57%, or 109.09 points, to 19,415.68. The Hang Seng China Enterprises Index advanced 0.34%.
Elsewhere across the region, in earlier trade, Mumbai, Wellington, Taipei and Jakarta were up, but Sydney, Singapore, Seoul and Manila dipped.
MSCI’s broadest index of Asia-Pacific shares outside Japan edged up by 0.3% by Tuesday early afternoon, reversing mild losses in the morning.
Wall Street Shut for Independence Day
US S&P 500 E-mini stock futures were flat in Asian trade and Wall Street stock indexes ended Monday’s shortened session up slightly along with Treasury yields.
Most of Wall Street will be closed for the US Independence Day public holiday on Tuesday.
In early European trades, the pan-region Euro Stoxx 50 futures and German DAX futures both edged up by around 0.2%, while FTSE futures were almost flat.
Investors are now watching out for a mixed bag of economic data ahead of second-quarter earnings for more trading cues, while uncertainty remains over the US Federal Reserve’s policy path.
In the currency market, the dollar index, which tracks the greenback against six major peers, rose slightly to 102.97.
Oil prices held steady, after settling 1% lower on Monday, as markets weighed supply woes from cuts for August by top exporters Saudi Arabia and Russia against economic data that suggested demand was weak.
Brent crude was up 0.6% at $75.07 a barrel. US West Texas Intermediate crude also added 0.6% to $70.2.
Gold was slightly higher, with spot gold traded at $1924.09 per ounce.
Key figures
Tokyo – Nikkei 225 < DOWN 0.98% at 33,422.52 (close)
Hong Kong – Hang Seng Index > UP 0.57% at 19,415.68 (close)
Shanghai – Composite > UP 0.04% at 3,245.35 (close)
London – FTSE 100 > UP 0.03% at 7,529.76 (0933 GMT)
New York – Dow > UP 0.03% at 34,418.47 (Monday close)
- Reuters with additional editing by Sean O’Meara
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