Asia report: Markets mostly higher as APEC summit begins

Most markets in Asia were in positive territory as they closed on Monday, even as sentiment remained muted amid ongoing geopolitical tension between China and the United States.

In Japan, the Nikkei 225 was up 0.65% at 21,821.16, as the yen strengthened 0.04% against the dollar to last trade at JPY 112.79.

The broader Topix index was 0.51% stronger in Tokyo, at 1,637.61.

Traders sent stocks northwards there after fresh data showed an 8.2% rise in exports for October, which was a reverse of fortunes from September’s slide.

The general mood was still not entirely positive, however, given that rise failed to meet expectations for a 9% improvement in exports, as predicted by economists Reuters spoke to.

On the mainland, the Shanghai Composite added 0.91% to close at 2,703.51, and the smaller, technology-heavy Shenzhen Composite improved 0.51% to 1,417.43.

South Korea’s Kospi was 0.39% higher at 2,100.56, while the Hang Seng Index in Hong Kong was ahead 0.72% at 26,372.00.

The ongoing trade dispute between Beijing and Washington was high on the agenda, as the Asia-Pacific Economic Cooperation (APEC) summit began in Papua New Guinea.

At the summit, US vice-president Mike Pence outlined what he saw as his country’s differences with the People’s Republic.

He asserted that debt which allegedly compromised a country’s sovereignty should not be acceptable.

“They begin with trade practices, with tariffs and quotas, forced technology transfers, the theft of intellectual property,” Pence was quoted as saying to media.

He added that it went “beyond that” to freedom of navigation at sea, and concerns about human rights.

Oil prices were mixed at the end of the Asian day, with Brent crude last down 0.06% at $66.72 per barrel, while West Texas Intermediate was ahead 0.07% at $56.72.

In Australia, the S&P/ASX 200 went against the regional trend to fall 0.64%, closing at 5,693.70, with the hefty financials subindex down 0.84% and the energy sector losing 1.56%.

Media was an exception, however, with massive newspaper publisher Fairfax Media rising 2.44% and television group Nine Entertainment adding 1.84%.

The chairman of Fairfax, Nick Falloon, said earlier in the session that a controversial proposed merger between his company and Nine had received “overwhelming support” from shareholders.

Across the Tasman Sea, New Zealand’s S&P/NZX 50 was also weaker, losing 0.2% to 8,792.93, for a fifth negative session on the trot.

The Wellington benchmark was led lower by Tourism Holdings, which lost 3.4% to reach its lowest close in a year.

Both of the down under dollars were weaker on the greenback, with the Aussie last off 0.49% at AUD 1.3706, and the Kiwi retreating 0.8% to NZD 1.4658.