Asia report: Markets mixed as Trump threatens SMIC with sanctions
Markets in Asia finished in a mixed state on Monday, as investors digested the latest export data from China, and mulled the Trump administration’s weekend moves against the People’s Republic.
In Japan, the Nikkei 225 was down 0.5% at 23,089.95, as the yen strengthened 0.03% against the dollar to JPY 106.21.
Technology conglomerate SoftBank Group fell 7.15%, while among the benchmark’s other major components, automation specialist Fanuc was up 6.8%, and fashion firm Fast Retailing was 0.4% higher.
The broader Topix index was off 0.42% by the end of trading in Tokyo, closing at 1,609.74.
On the mainland, the Shanghai Composite was down 1.87% at 3,292.59, and the smaller, technology-heavy Shenzhen Composite lost 2.22% to 2,239.68.
Fresh data out of Beijing showed a 9.5% year-on-year improvement in dollar-denominated exports for August, well ahead of the 7.1% rise anticipated by Reuters-polled economists.
Imports, meanwhile, were down 2.1%, compared to the 0.1% growth figure that had been expected in the same poll.
“The high level of exports is likely down to a large amount of personal protective equipment being sold to various governments around the world,” said CMC Markets analyst David Madden.
“The decline in imports points to continued weak internal demand.”
South Korea’s Kospi managed gains of 0.67% to 2,384.22, while the Hang Seng Index in Hong Kong was 0.43% weaker at 24,589.65.
The blue-chip technology stocks were mixed in Seoul, with Samsung Electronics 1.62% higher, while chipmaker SK Hynix was down 0.38%.
Hong Kong-listed shares of Chinese semiconductor giant SMIC plummeted 22.88%, after news that the Trump administration was considering export restrictions for the firm.
The move, reported by Reuters over the weekend, would be a significant escalation in tensions between Washington and Beijing.
Oil prices were lower as the region went to bed, with Brent crude last down 1.71% at $41.93, and West Texas Intermediate off 1.8% at $39.06.
In Australia, the S&P/ASX 200 added 0.33% by end-of-play, settling at 5,944.80, as the country’s big four banks finished in the green.
Australia and New Zealand Banking Group was up 1.8%, Commonwealth Bank of Australia added 0.96%, National Australia Bank rose 1.5%, and Westpac Banking Corporation advanced 1.88%.
Across the Tasman Sea, New Zealand’s S&P/NZX 50 was ahead 0.3% at 11,859.45, as broadband infrastructure company Chorus rose 3.61%.
The down under dollars were a mixed picture against the greenback, with the Aussie last 0.01% stronger at AUD 1.3731, as the Kiwi weakened 0.22% to NZD 1.4912.