Asia report: Markets mostly higher ahead of global risk events

Japan’s Nikkei 225 was lower by 0.38% at 19,909.26, as the yen weakened 0.25% against the greenback to JPY 110.09.

On the economic front, the second estimate of the country’s first quarter GDP showed growth of 0.3% quarter-on-quarter, which was softer than the 0.5% initially expected.

Growth was 1% year-on-year, well off the 2.2% expected.

Technology firm Toshiba was up 5.47% after it said it was aiming to announce the winning suitor for its valuable semiconductor division next week.

The ailing conglomerate put the unit on the market in an effort to solve a cash crisis stemming from the failure of its US nuclear development acquisition Westinghouse Electric.

On the mainland, the Shanghai Composite added 0.34% to 3,150.93, while the Shenzhen Composite was 0.13% higher at 1,852.86.

The green finish in China came after the release of better-than-expected trade data for May, with exports improving 8.7% and imports rising 14.8% in dollar-denominated terms.

That compared to expectations for 7% and 8.5% rises respectively.

South Korea’s Kospi was up 0.15% at 2,363.57, while the Hang Seng Index in Hong Kong was 0.34% firmer at 26,063.06.

Hong Kong-traded furniture manufacturer Man Wah Holdings remained suspended from trade, after it fell 15% on Thursday following the announcement that Carson Block was shorting the stock.

Thursday was a day of significant risk events for the global markets, with general election polls in the UK opening as Asian markets closed.

In the US, former FBI director James Comey was due to testify before the Senate Intelligence Committee over allegations President Donald Trump has asked him to ‘drop’ an investigation into former national security advisor Michael Flynn and his possible ties to Russia.

“Markets have been on edge all week awaiting the coming events,” noted ANZ head of research Daniel Been.

“While the results of the various events could matter for individual markets, for broader markets it could once again be a case of ‘as you were.’

“Nonetheless, one can't ignore the risks.”

Oil prices were slightly higher during Asian trading, and maintained that trajectory in early European hours.

Brent crude was last up 0.89% at $48.49 per barrel, while West Texas Intermediate was off 0.82% at $46.10.

Australia’s S&P/ASX 200 finished up 0.17% at 5,676.60, while New Zealand’s S&P/NZX 50 lost 0.1% to settle at 7,458.66.

The down under dollars were mixed, with the Kiwi last 0.13% stronger on the greenback at NZD 1.3879, while the Aussie weakened 0.01% to AUD 1.3246.