Asian markets look set for mixed start as geopolitical concerns ease

FAN Editor

Asian markets were set for a mixed start on Monday after oil prices fell in the last session and geopolitical concerns related to North Korea ebbed.

Futures in the region pointed in different directions, with Nikkei futures traded in Chicago up 0.07 percent compared to the index’s previous close. Australian SPI futures were down 0.5 percent at the end of Friday.

On the corporate front, Malaysia’s Maybank is expected to release first-quarter earnings later in the day.

U.S. stocks finished the last session mostly lower on Friday amid a mix of positive corporate earnings releases and geopolitical headlines involving North Korea.

The Dow Jones industrial average slipped 0.24 percent, or 58.67 points, to 24,753.09 and the S&P 500 edged down by 0.24 percent to 2,721.33 as financial and energy sector stocks continued to contribute to overall losses. The Nasdaq composite, however, tacked on 0.13 percent to close at 7,433.85.

The energy sector had come under pressure as oil took a hit, with prices declining following news that top producers could ease quotas on existing production cuts. Brent crude futures settled 3 percent lower at $76.44 per barrel and U.S. West Texas Intermediate dropped 4 percent to settle at $67.88.

On the geopolitical front, delegations from the U.S. and North Korea met on Sunday at the border between North and South Korea. The talks followed a Saturday meeting between South Korean President Moon Jae-in and North Korean leader Kim Jong Un.

Trump said he canceled a planned meeting with Kim in June last Thursday, although the White House later said it was still making preparations “should the summit take place.”

Meanwhile, the euro firmed by some 0.3 percent after news that Italy’s president had not approved a nominee for the position of economy minister. The common currency traded at $1.1689 at 7:04 a.m. HK/SIN, compared to Friday’s close of $1.1650.

The dollar index, which tracks the greenback against several peers, stood at 94.092. Against the yen, the dollar fetched 109.62.

There aren’t many data releases from the region expected on Monday, with just Hong Kong April trade data expected at 4:30 p.m. HK/SIN. Looking ahead, China is expected to release official Purchasing Managers’ Index data on Thursday.

Meanwhile, markets in the U.S. and U.K. will be closed on Monday for holidays.

Free America Network Articles

Leave a Reply

Next Post

Asian markets trade mixed, with oil prices on the back foot

Asian markets were mixed in early Monday trade, with the decline in oil prices weighing on energy stocks in the region, while investors digested weekend news regarding U.S.-North Korea relations. Japan’s Nikkei 225 advanced 0.32 percent and the broader Topix added 0.19 percent. The Topix oil subindex fell 2.76 percent […]