Asia report: Most markets higher as China export data beats forecasts

In Japan, the Nikkei 225 was up 0.2% at 21,685.90, as the yen strengthened 0.03% against the dollar to last trade at JPY 108.47.

Of the major components on the benchmark index, automation specialist Fanuc was down 1.99%, while fashion firm Fast Retailing was 3.19% higher and technology conglomerate SoftBank Group gained 0.25%.

The broader Topix index was down 0.15% in Tokyo, to close out its trading day at 1,576.31.

“Japanese stocks saw timid demand due to a stronger yen and expectations of weak company results,” said London Capital Group senior market analyst Ipek Ozkardeskaya.

“Exporters are increasingly worried about the yen appreciation.

“The USD/JPY rebounded from the 108 mark, yet the broad-based USD weakness will likely keep the pair capped pre-109.00, the resistance which was in play before Powell’s testimony.”

Ozkardeskaya said a “key resistance” was eyed at the 110 psychological hurdle.

On the mainland, the Shanghai Composite was 0.44% higher at 2,930.55, and the smaller, technology-heavy Shenzhen Composite grew 0.51% to 1,556.77.

Fresh data out of China showed a 1.3% fall in dollar-denominated exports from China year-on-year in June, with imports declining 7.3% at the same time.

The exports figure was better than expected, with economists polled by Reuters having picked a decline of 2%, while the import data was worse than the 4.5% forecast.

Customs data showed China’s total trade with the United States was down 9% in the first half of the year, as the two countries continued their protracted trade war.

South Korea’s Kospi was 0.29% firmer at 2,086.66, while the Hang Seng Index in Hong Kong managed gains of 0.14% to 28,471.62.

The blue-chip technology stocks were mixed in Seoul, with Samsung Electronics up 0.22%, while chipmaker SK Hynix lost 1.06%.

Singapore’s economy shot to the top of the agenda on Friday, with the country now looming closer to recession after its gross domestic product declined a seasonally-adjusted 3.4% quarter-on-quarter in the April-to-June period.

A Reuters poll of economists had predicted a decline of 0.1%, meaning the official reading was much worse than expected.

On a year-on-year basis, Singapore’s GDP was ahead 0.1%, which widely missed the 1.1% expected by economists, and was the slowest year-on-year growth in a decade.

Oil prices were higher as the region went to bed, with Brent crude last up 1% at $67.19 per barrel, and West Texas Intermediate 0.81% higher at $60.69.

In Australia, the S&P/ASX 200 declined 0.29% to 6,696.50, while across the Tasman Sea, New Zealand’s S&P/NZX 50 eked out gains of 0.1% to 10,701.43.

Both of the down under dollars were stronger on the greenback, with the Aussie last ahead 0.2% to AUD 1.4308, and the Kiwi advancing 0.16% to NZD 1.4990.