Asia Stocks Mixed: Australia Soars on Bank Gains; Nikkei Pulls Back from Record
Australia's S&P/ASX 200 hits record; jobs rebound tempers further RBA rate cuts.
Tokyo's Nikkei drops 1.3%, yen strength weighs on stocks after record highs.
Shanghai, Hong Kong rise modestly; Korea, Singapore, India slip amid Fed rate cut hopes.
Mixed Asian Stocks as Australia Hits New Record
Asian equity markets showed mixed performance on Thursday. Australia's S&P/ASX 200 index surged 0.8% to a fresh record high of 8,996.80 points by 02:25 GMT. The rise was fueled by solid corporate earnings and optimism following the Reserve Bank of Australia's recent 25 basis point rate cut to 3.60%.
Westpac Banking Corp posted stronger third-quarter profits, sending its shares up over 6%, lifting financial sectors broadly. Power company Origin Energy hit a decade high with a more than 7% gain after exceeding profit forecasts, and insurer Suncorp climbed 4% on robust full-year results.
Economic data showed Australia's job market rebounded in July, with the unemployment rate declining. This labor market strength could temper expectations for further rate cuts by the RBA.
Japan Pulls Back as Yen Strengthens
Tokyo's Nikkei 225 index fell 1.3% to 42,642.31 on Thursday, retreating from its Wednesday record close at 43,451 and snapping six consecutive sessions of intraday gains.
The broader TOPIX index also dropped 1% from its previous record over 3,100 points.The recent rally had been supported by U.S. consumer inflation data perceived as mild, reinforcing bets on a Fed rate cut in September. However, a rallying yen, bolstered by those Fed easing expectations, weighed heavily on Japanese equities, contributing to their decline.
Regional Markets See Modest Moves Amid Fed Sentiment
Elsewhere in the region, the Shanghai Composite and Shanghai Shenzhen CSI 300 indexes each rose 0.6%, while Hong Kong's Hang Seng index advanced slightly by 0.2%.
Conversely, South Korea's KOSPI edged down 0.2%, and Singapore's Straits Times Index declined 0.4%. Futures tied to India's Nifty 50 also slipped marginally by 0.1%.
Investor sentiment across Asia was influenced by upbeat cues from Wall Street, where the Nasdaq and S&P 500 reached new record highs on Wednesday amid expectations of an imminent Federal Reserve rate cut. U.S. stock futures remained largely flat during Asian trading hours on Thursday.
* The content presented above, whether from a third party or not, is considered as general advice only. This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.
