Stocks in Asia were mixed in early Friday trade after Wall Street slipped on uncertainty in Washington while investors anticipated an annual central banking symposium in Jackson Hole.
Japan’s Nikkei 225 rose 0.25 percent in early trade, with gains in automakers, trading houses and financials driving the broader rise in the index. Across the Korean strait, the Kospi traded just below the flat line, falling 0.05 percent.
Down Under, the S&P/ASX 200 declined 0.38 percent as investors digested earnings. Most sectors recorded losses, but the energy and utilities sub-indexes made moderate gains.
India markets were closed for a public holiday.
In Washington, tensions between President Donald Trump and Republican leaders were once again in the spotlight on Thursday after the president criticized Senate Majority Leader Mitch McConnell and House Speaker Paul Ryan in a series of tweets. A White House statement on Wednesday said Trump and McConnell were “united on many shared priorities.”
Investors, meanwhile, awaited Friday speeches from U.S. Federal Reserve Chair Janet Yellen and European Central Bank President Mario Draghi at an annual central banking meeting in Jackson Hole.
Despite interest in the central bankers’ speeches, experts said major changes in policy are unlikely.
“Due to the uncertainty in the global markets and recent sell-off in U.S. stocks, there’s no better reason than the now for Yellen and Draghi to stick to script,” Kathy Lien, managing director of FX strategy at BK Asset Management, said in a note.
In corporate news, Toshiba has been offered $1.9 trillion yen ($17.4 billion) for its memory chip unit, Reuters reported Thursday. The offer was made by a consortium including Western Digital and Innovation Network Corp of Japan, among others. Toshiba stock was off 0.31 percent in early trade.
Meanwhile, Samsung Group’s de facto head, Jay Y. Lee, will receive a court ruling on bribery charges Friday, according to Reuters. Lee has been charged with bribing former South Korean President Park Geun-hye, who was impeached earlier this year after being caught up in a corruption scandal. Samsung companies listed on the Korea exchange largely shrugged off the news: Samsung Electronics edged up 0.34 percent, Samsung Heavy rose 1.86 percent while Samsung SDI was flat.
Australia’s Qantas Airways reported on Friday its second-highest result in the company’s history. The airline’s underlying profit before tax rose to A$1.4 billion ($1.1 billion) for the year ending on Jun. 30. That was above the A$1.38 pre-tax profit forecast by Thomson Reuters I/B/E/S/. Qantas stock was down 2.41 percent in early trade.
Other market movers during the session could include several Hong Kong-listed corporates that posted results after the market close on Thursday. Those companies included property developer China Vanke, app company Meitu, oil producers CNOOC and telecommunication equipment maker ZTE.
Oil gained after taking a hit overnight due to Hurricane Harvey approaching the U.S. coast. Global benchmark Brent crude advanced 0.65 percent to trade at $52.39 a barrel and U.S. crude rose 0.65 percent to trade at $47.74.
Ahead of the Jackson Hole meeting, the dollar index, which tracks the dollar against major currencies, edged up to stand at 93.286 at 8:13 a.m. HK/SIN, compared to an overnight low of 93.139.
Against the Japanese currency, the greenback traded at 109.55 yen. The dollar had fallen below the 109 handle earlier in the week after Trump warned he could shut down the government if he didn’t secure funds to build a proposed border wall between the U.S. and Mexico.
ANZ Research said in a Friday morning note that currency markets traded in ranges ahead of speeches from the ECB and Fed chiefs.
In economic news, Japan July CPI rose 0.5 percent compared to one year ago, according to Reuters. That was the seventh consecutive month of gains in core consumer prices, Reuters said.
Equities stateside closed slightly lower despite a sharp rise in retail stocks, with the Dow Jones industrial average slipping 0.13 percent, or 28.69 points, to close at 21,783.4.
Source: cnbc china
Asia markets mixed after Wall Street slides as investors focus on Jackson Hole