Asia report: Most markets higher as Caixin PMI satiates
Markets in Asia were mostly higher on Wednesday, led by Tokyo and Seoul, as investors digested the latest unofficial PMI data from China.
AUD/USD
$0.6826
01:08 05/10/24
GBP/NZD
NZD2.1293
23:53 04/10/24
Hang Seng
22,736.87
10:20 04/10/24
Nikkei 225
38,635.62
09:45 04/10/24
USD/JPY
¥148.7980
01:08 05/10/24
In Japan, the Nikkei 225 was up 1.86% at 22,420.08, as the yen weakened 0.47% against the dollar to last trade at JPY 114.17.
Carmakers were on the front foot, with Mitsubishi Motor up 1%, while technology stocks were mixed, although Sony rocketed 11.44% after revealing forecast-beating results on Tuesday.
On the mainland, the Shanghai Composite was ahead 0.08% at 3,396.07, and the smaller, technology-heavy Shenzhen Composite eked out gains of 0.06% to 2,003.44.
The unofficial Caixin Purchasing Managers’ Index was released in China on Wednesday, and satiated expectations at 51.0.
It came after the official PMI data missed forecasts on Tuesday.
South Korea’s Kospi was up 1.31% at 2,556.47, while the Hang Seng Index in Hong Kong was 1.23% firmer at 28,594.06.
Technology plays were firmer in Seoul, with Samsung Electronics up 3.89% and SK Hynix ahead 3.77%.
Gambling stocks were winning in Hong Kong, after fresh data from Macau showed a 22.1% uplift in year-on-year gaming revenue for October.
Both Melco International Development and Wynn Macau traded higher.
SJM Holdings traded lower for much of the session, however, after the casino operator revealed a 16.5% dip in third-quarter profit to HKD 428m.
Traders in Asia had one eye on the US on Wednesday, ahead of the latest interest rates decision from the Federal Reserve.
Most market watchers were expecting no changes in policy - or at least very little in the way of surprise - after the Federal Open Market Committee’s two-day policy meeting.
“”ith no ‘presser’ or dot plot release for the November Federal Open Market Committee, shifts in Fed bets may be somewhat restrained absent express dovish caveats in the statement,” noted Mizuho Bank’s head of economics and strategy.
Investors were also keenly looking towards tax reform details, expected later this week from the Trump administration, along with the President’s pick of who should succeed Janet Yellen in the Fed’s chair.
Bullishness was still the name of the game in oil futures, with Brent crude last up 1.02% to $61.57 per barrel, and West Texas Intermediate rising 1.01% to $54.96.
In Australia, the S&P/ASX 200 added 0.49% to settle at 5,937.77, led higher by the energy subindex, with Beach Energy surging 7.69% and Santos up 1.78%.
Across the Tasman Sea, New Zealand’s S&P/NZX 50 was the odd one out in the region, falling 1.1% to 8,053.81.
It was dragged lower by infant food and dairy products exporter A2 Milk, which dropped 8.4%.
Both of the down under dollars were stronger on the greenback, with the Aussie last off 0.17% at AUD 1.3040, while the Kiwi surged in strength by 0.62% to NZD 1.4513, after the release of fresh employment figures in New Zealand showed positive movements.