Asia report: Markets mixed amid ongoing US-China tensions
By Josh White
Date: Thursday 28 May 2020
(Sharecast News) - Markets in Asia finished mixed on Thursday, with Japan's benchmark rising more than 2%, as tensions between the US and China remained in focus for investors.
In Japan, the Nikkei 225 was up 2.32% at 21,916.31, as the yen weakened 0.04% against the dollar to last trade at JPY 107.76.
Of the major components on the benchmark index, automation specialist Fanuc was up 3.86%, Uniqlo owner Fast Retailing added 3.7%, and technology giant SoftBank Group advanced 1.96%.
The broader Topix index was ahead 1.8% by the end of trading in Tokyo, settling at 1,577.34.
On the mainland, the Shanghai Composite managed gains of 0.33% to 2,846.22, and the smaller, technology-focussed Shenzhen Composite was 0.25% weaker at 1,769.70.
South Korea's Kospi lost 0.13% to close at 2,029.54, while the Hang Seng Index in Hong Kong was off 0.72% at 23,132.76.
Both of the blue-chip technology stocks were stronger in Seoul, with Samsung Electronics up 1% and chipmaker SK Hynix ahead 3.07%.
China-based tech behemoth Tencent was weaker in Hong Kong, ending the day down 2.81%.
Tensions between Washington and Beijing remained a major force in the markets on Thursday, after US secretary of state Mike Pompeo told Congress overnight that Hong Kong was no longer autonomous from China's rule.
That opened up the question of Hong Kong's more favourable trading relationship with the United States, as well as the possibility of sanctions.
Also on Wednesday, the US House of Representatives passed a condemnation of China over the detention and apparent torture of Uighur Muslims in the province of Xinjiang, in the country's far western reaches.
It came as fresh protests broke out in the special administrative region, in the wake of a national security law being proposed for the city by officials in the People's Republic.
Hong Kong's newspaper of record, the China-owned South China Morning Post, waded in during the Asian session too, suggesting China was ready to hit back at the US over any punitive action with regard to Hong Kong.
Oil prices were weaker as the region went to bed, with Brent crude last down 0.81% at $34.46 per barrel, and West Texas Intermediate off 1.07% at $32.46.
In Australia, the S&P/ASX 200 was 1.32% firmer by end-of-play in Sydney, finishing the day at 5,851.10.
Sentiment was rosier in the sunburnt country, after Reserve Bank of Australia governor Philip Lowe told politicians that it was "possible that the economic downturn will not be as severe as earlier thought".
The big four banks were all in the green, with Australia and New Zealand Banking Group up 4.46%, Commonwealth Bank of Australia ahead 2.22%, National Australia Bank rising 4.74% , and Westpac Banking Corporation 4.43% firmer.
Across the Tasman Sea, New Zealand's S&P/NZX 50 gave up earlier gains to close 1.74% weaker at 10,856.69.
Wellington's bourse was led lower by subscription broadcaster Sky Network Television, which plunged 15.6% as it began the retail investor portion of an NZD 157m capital raising.
Both of the down under dollars were weaker on the greenback, with the Aussie last off 0.19% at AUD 1.5125, and the Kiwi retreating 0.06% to NZD 1.6168.
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN