SINGAPORE — Asia-Pacific equities were mixed on Tuesday on a quiet data day as markets continue to digest last week’s excellent US jobs report.
SoftBank Group shares fell about 7% after the Vision Fund reported a loss of 2.93 trillion Japanese yen ($21.68 billion) for the June quarter after the market close on Monday. The tech-focused fund has suffered as central banks hike interest rates to fight inflation.
The Nikkei 225 in Japan fell 0.88% to close at 27,999.96 and the Topix index fell 0.74% to 1,937.02.
South Korea’s Kospi closed about 0.42% higher at 2,503.46, while the Kosdaq was up 0.34% to 833.65.
In Australia, the S&P/ASX 200 was up 0.13% to 7,029.8.
Markets instead mulled Friday’s strong payroll report, with a few more US banks calling for a 75 basis point hike in September.
Tapas Strickland
Economist, National Australia Bank
Hong Kong’s Hang Seng index gave up earlier gains to trade 0.3% lower in the final hour of the session, while heavyweight Alibaba was up about 0.7%.
Alibaba has applied to change its listing status in Hong Kong from primary to secondary, the company said in a statement on the Hong Kong Stock Exchange. The Hong Kong Stock Exchange confirmed the application on August 8. The change is expected to come into effect before the end of 2022.
The tech giant first announced its plans for a dual primary listing in Hong Kong last month.
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Mainland China markets have made progress. The Shanghai Composite was up 0.32% to 3,247.43 and the Shenzhen Component was up 0.235% to 12,331.09.
Shares in smart transportation company Zhengzhou Tiamaes Technology rose nearly 20% after China’s Ministry of Transport released draft rules for self-driving vehicles that could lead to legalization of such vehicles on public roads.
According to Chinese media, shares of ShenZhen RoadRover Technology rose 10%, hitting its trading limit.
MSCI’s broadest index of Asia-Pacific stocks outside of Japan was little changed.
According to National Australia Bank economist Tapas Strickland, China’s continued military drills around Taiwan have not impacted markets much.
“Instead, markets have been reflecting on Friday’s strong payroll report, with some more US banks calling for a 75 basis point hike in September,” he said in a note on Tuesday.
For economic data, investors will be watching US consumer price index data due on Wednesday.
Markets in Singapore and India are closed for a public holiday on Tuesday.
In the US, the S&P 500 fell 0.12% overnight to 4,140.06 and the Nasdaq Composite fell 0.1% to 12,644.46. The Dow Jones Industrial Average edged up to close at 32,832.54.
Currencies and Oil
The US dollar index, which measures the currency against a basket of six foreign currencies, was at 106.320, slightly lower after recently rising to nearly 107.
“Continued hawkish messages from the Fed and a strong CPI read may support the USD,” Kristina Clifton, an economist at the Commonwealth Bank of Australia, wrote in a note Tuesday morning.
The Japanese yen traded at 134.92 per dollar after weakening sharply following last week’s strong US jobs report.
The Australian dollar was at $0.6969. It briefly climbed above $0.70 overnight.
Oil futures were up almost 2% on Monday. US West Texas Intermediate futures in Asia on Tuesday were down 0.79% to $90.09 a barrel, while Brent crude was down 0.68% to $95.99 a barrel.