Asian stocks ended mixed in thin trade on Tuesday, with Japanese markets closed for a public holiday.
Chinese and Hong Kong stocks underperformed amid U.S. trade policy shifts and deflation concerns as retaliatory Chinese duties on U.S. energy and some goods came into effect on Monday.
Gold shot to a record high and the dollar was firm as investors waited to hear from Federal Reserve Chair Jerome Powell on tariffs and inflation.
Oil extended sharp overnight gains on fears of more supply disruptions following U.S. sanctions on networks shipping Iranian oil to China.
Also, Russian oil production fell short of its OPEC+ quota in January, easing concerns of an oversupply.
China’s Shanghai Composite index slid 0.12 percent to 3,318.06 as steelmakers declined on concerns over possible impact on steel exports this year. Hong Kong’s Hang Seng index fell 1.06 percent to 21,294.86.
Seoul stocks rose notably, with the Kospi average climbing 0.71 percent to 2,539.05 despite Trump’s announcement of new tariff plans.
Leading bio firm Samsung Biologics surged 3.9 percent while electric vehicle battery maker LG Energy Solution lost 1 percent.
Australian markets finished marginally higher as U.S. President Donald Trump imposed 25 percent tariffs on all U.S. imports of steel and aluminum, but promised to give Australia’s case ‘great consideration.’
Gold miners such as Northern Star Resources and St Barbara surged 4-6 percent. Biopharmaceutical company CSL plunged 5 percent after announcing weak half-year profits.
Across the Tasman, New Zealand’s benchmark S&P/NZX-50 index edged up by 0.32 percent to 12,917.45 despite disappointing earnings from Vulcan Steel.
U.S. stocks shrugged off tariff tensions and inflation-related worries to end on a firm note overnight, led by steelmakers, Nvidia and other AI-related stocks.
In economic news, a survey showed expected inflation rates over the next year and three years ahead were both unchanged in January at 3 percent.
The tech-heavy Nasdaq Composite rallied 1 percent, the S&P 500 added 0.7 percent and the Dow edged up by 0.4 percent.
Market Analysis
Asian Shares Mixed In Cautious Trade
2025-02-11 08:38:29
