Asia report: Markets lack Christmas cheer ahead of holiday weekend

Asian shares were lacking in Christmas spirit on Friday, finishing mostly red after the Dow Jones Industrial Average spent another session overnight flirting with - but not quite managing - the psychological 20,000 point mark.

Markets in Japan had the day off for the Emperor’s Birthday - with many investors no doubt taking advantage of the fact it’s one of two days a year the Imperial Palace is open to the public.

The yen was stronger against the greenback, last gaining 0.12% to JPY 117.40 per $1.

“The market still wants to own dollars as it winds down into Christmas and the New Year period,” noted National Australia Bank’s David de Garis.

On the mainland, the Shanghai Composite was 0.94% lower at 3,110.00, and the Shenzhen Composite lost 1.1% to settle at 1,971.07.

China’s coal producers were the losers of the day, as Datong Coal slipped 1.75% and Shanxi Xishan Coal slid 3.57%.

Both were lower on account of a recent dip in coal prices.

South Korea’s Kospi was virtually flat, adding 0.01% to 2,035.90, although shares in pharmaceutical firms were higher as the peninsula dealt with its worst ever bird flu season.

Daewoong Pharma was up 1.65% and Hanmi Pharma surged 4.56%, as authorities ordered the killing of 25% of the country’s poultry stock - or 20 million birds - to try and contain the outbreak.

In Hong Kong, the Hang Seng Index lost 0.28% to finish at 21,574.76, with financial stocks dragging the markets in the special administrative region.

Bank of East Asia was off 1.49%, and Hang Seng Bank lost 1.03% during the session.

It was a quiet end to a fiery week in the Philippines, with the PSEi Index in Manila losing 0.36% to 6,563.76 as the country’s central bank stood pat on monetary policy.

The Bank Sentral ng Pilipinas was already under pressure, after the country’s controversial president Rodrigo Duterte told its governor he will “give you a whack” on Thursday.

Duterte took aim at governor Amando Tetangco for what he perceived as a failure on the part of the central bank to support his crackdown on drugs, by not tracking flows of drug money,.

Oil prices were lower during Asian trading, though they did begin to weaken as Europe took the baton.

Brent crude was last off 0.57% to $54.74 per barrel, and West Texas Intermediate lost 0.59% to $52.64.

In Australia, the S&P/ASX 200 was 0.14% lower at 5,627.90, with traders seemingly brushing off news that police in Victoria had foiled a Christmas Day bombing plot.

Sydney’s bourse operated a shorter session ahead of the Christmas holiday.

New Zealand’s benchmark S&P/NZX 50 was up 0.37% at 6,876.99 - it also operated a short session, giving investors a chance to do some last minute shopping in the afternoon.

The benchmark was led higher by airport operator AIAL, as debate raged in the country’s largest city over how to deal with the traffic around the fast-growing Auckland Airport.

Local media had reported a large number of passengers missing their flights recently due to unprecedented traffic to the airport, with local authorities seemingly dragging their feet on any meaningful public transport upgrade.

It was a mixed picture for the down under dollars, with the Aussie last weakening 0.07% to AUD 1.3866 against the greenback, and the Kiwi 0.01% stronger at NZD 1.4483 per $1.