Asia report: Markets end politically busy week mixed

Markets in Asia finished mixed on Friday, as traders were still dividing their attention between economic news, and a number of geopolitical and trade-related developments.

The Nikkei 225 was down 0.58% at 21,676.51, as the yen strengthened 0.65% against the dollar to last trade at JPY 105.65.

Carmakers and technology plays were mostly lower, joining manufacturers, with Fanuc sliding 1.63%.

On the mainland, the Shanghai Composite was off 0.63% at 3,270.39, and the smaller, technology-heavy Shenzhen Composite fell 0.61% to 1,863.03.

South Korea’s Kospi eked out gains of 0.06% to finish at 2,493.97, while the Hang Seng Index in Hong Kong lost 0.12% to 31,501.97.

Samsung Electronics reversed some of its earlier losses to close down 0.78% in Seoul.

Financial plays finished higher, while manufacturers and the rest of the technology sector were mixed on the Korean peninsula.

Trade developments were again at the top of the agenda for traders, after reports overnight that the Trump administration was looking to levy tariffs on at least $30bn of imports from China.

Reports earlier in the week suggested the figure could be as high as $60bn.

Many investors remained concerned that the imposing of punitive tariffs could lead to retaliatory actions from US trading partners, leading to a trade war.

Political developments were also in focus in the US, after it was reported that president Trump gave national security advisor H.R. McMaster his P45.

Oil prices were higher, with Brent crude last up 0.14% to $65.17 per barrel and West Texas Intermediate adding 0.29% to $61.37.

In Australia, the S&P/ASX 200 rose 0.48% to 5,949.40, led higher by the consumer staples and telecommunications subindices.

The consumer sector was supercharged by Wesfarmers, which leapt 6.31% after reports it was going to spin out its core Coles grocery business - one of the country’s two largest food retailers.

Across the Tasman Sea, New Zealand’s S&P/NZX 50 added 0.1% to close at a record high of 8,477.08, led higher by health food exporter Comvita, which added 7.6%.

The index was rebalanced, with Metro Performance Glass falling out of the benchmark, being replaced by Gentrack Group.

Metro was unchanged, while Gentrack added 3.4%.

Both of the down under dollars were weaker on the greenback, with the Aussie last off 0.27% at AUD 1.2859 and the Kiwi retreating 0.47% to NZD 1.3804.