Asian Markets Mostly Lower Amid Weak China Data

Asian stock markets slipped in to the red on Tuesday, despite the positive cues from European markets overnight, as traders reacted to weak fourth-quarter economic data emerging from China, which reported its second-lowest annual economic growth in almost 50 years. Traders are also assessing stubborn inflation, possible recession and the growth outlook for the markets. Asian markets closed mostly higher on Monday.

The Australian stock market modestly higher on Tuesday after being in the red at open, extending the gains in the previous fourth sessions, with the benchmark S&P/ASX 200 staying below the 7,400 level off yesterday’s nine-month highs, despite the positive cues from European markets overnight, dragged by mining and energy stocks amid tumbling commodity prices.

Meanwhile, domestic data showed consumer sentiment growing for a second straight month in January. According to the Westpac-Melbourne Institute index, consumer sentiment improved by 5 percent in January, the biggest monthly gain since April 2021.

The benchmark S&P/ASX 200 Index is losing 9.80 points or 0.13 percent to 7,378.40, after hitting a low of 7,364.20 and a high of 7,399.50 earlier. The broader All Ordinaries Index is down 14.40 points or 0.19 percent to 7,590.60. Australian stocks closed significantly higher on Monday.

Among the major miners, Rio Tinto and BHP Group are losing 1.5 percent each, while Mineral Resources is slipping almost 2 percent and Fortescue Metals is declining almost 3 percent. OZ Minerals is edging up 0.1 percent.

Oil stocks are mostly weak. Origin Energy is declining 3.5 percent and Beach energy is losing more than 1 percent. Woodside Energy and Santos are flat.

Among tech stocks, Zip is surging more than 8 percent, while Appen is declining more than 2 percent and Xero is slipping more than 1 percent. Afterpay owner Block and WiseTech Global are edging down 0.2 percent each.

Gold miners are mostly lower. Resolute Mining is plunging more than 6 percent, Northern Star Resources is losing more than 1 percent and Gold Road Resources is declining more than 3 percent, while Newcrest Mining and Evolution Mining are edging up 0.2 to 0.4 percent each.

Among the big four banks, Commonwealth Bank, ANZ Banking, Westpac and National Australia Bank are all edging up 0.4 to 0.6 percent each.

In other news, shares in JB Hi-Fi are gaining more than 3 percent after the electronics retailer reported Record half-year earnings and sales. Net profit increased more than 14 percent for the six months to December 31.

In the currency market, the Aussie dollar is trading at $0.696 on Tuesday.

The Japanese stock market is sharply higher on Tuesday, recouping some of the losses in the previous two sessions, with the Nikkei 225 moving to nearly the 26,200 level, following the positive cues from European markets overnight, with gains in heavyweight stocks and technology stocks. Traders are also cautious as the Bank of Japan kicks off a two-day monetary policy meeting.

The benchmark Nikkei 225 Index closed the morning session at 26,140.51, up 318.19 points or 1.23 percent, after touching a high of 26,198.69 earlier. Japanese shares ended sharply lower on Monday.

Market heavyweight SoftBank Group is gaining more than 2 percent and Uniqlo operator Fast Retailing is adding more than 3 percent. Among automakers, Honda is gaining more than 2 percent and Toyota is adding almost 3 percent.

In the tech space, Advantest is gaining more than 3 percent, Tokyo Electron is adding almost 3 percent and Screen Holdings is up more than 2 percent.

In the banking sector, Mitsubishi UFJ Financial is edging up 0.2 percent, while Sumitomo Mitsui Financial and Mizuho Financial are edging down 0.1 to 0.3 percent each.

The major exporters are higher. Canon and Mitsubishi Electric are gaining more than 1 percent each, while Panasonic and Sony are adding almost 2 percent each.

Among the other major gainers, Taiyo Yuden and Mitsubishi Motors are gaining more than 4 percent each, while Resonac Holdings and Mazda Motor are adding almost 4 percent each. Yaskawa Electric, Nissan Motor, Denso and Yamaha Motor are up more than 3 percent each, while Z Holdings, Alps Alpine, Suzuki Motor and Nippon Sheet Glass are advancing almost 3 percent each.

Conversely, Chiba Bank is losing almost 3 percent.

In the currency market, the U.S. dollar is trading in the higher 128 yen-range on Tuesday.

Elsewhere in Asia, China, Hong Kong, Singapore, Malaysia, South Korea and Taiwan are lower by between 0.1 and 0.8 percent each. New Zealand and Indonesia are up 0.6 and 0.7 percent, respectively.

The Wall Street was closed on account of Martin Luther King Jr. day holiday on Monday. The shares closed notably higher on Friday.

The major European markets moved to the upside on the day. The U.K.’s FTSE 100 advanced 0.2 percent, Germany’s DAX surged 0.31 percent and France’s CAC 40 climbed 0.28 percent.

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