Asian markets were mixed in subdued early trading Monday, ahead of the signing of a “phase one” trade deal between the U.S. and China later this week.

The world’s two largest economic powers are scheduled to sign the phase-one deal Wednesday in Washington, with China reportedly agreeing to buy more U.S. agricultural products and implementing economic reforms, and some tariff relief coming from the U.S. The Wall Street Journal reported Saturday that the U.S. and China have also agreed to hold semiannual talks to discuss and resolve points of dispute.

“It’s unlikely there will be an exceptional level of excitement in the market as the agreement has been extensively telegraphed, although President Trump will likely herald the deal in with much fanfare,” wrote Stephen Innes, chief Asia market strategist for AxiTrader, in a note Sunday. “Provided the deal inks a commitment from China to increase agricultural products and outlines a dependable enforcement mechanism, the market will go merrily along the way.”

Hong Kong’s Hang Seng Index

HSI, +1.11%

  rose 0.8%, while the Shanghai Composite

SHCOMP, +0.75%

  was about flat and the Shenzhen Composite

399106, +1.36%

  advanced 0.7%. South Korea’s Kospi

180721, +1.04%

  gained 0.6% while benchmark indexes in Taiwan

Y9999, +0.74%

 , SIngapore

STI, -0.19%

  and Indonesia

JAKIDX, +0.11%

  were mixed. Australia’s S&P/ASX 200

XJO, -0.37%

  fell 0.5%. Japan’s Nikkei was closed for a holiday.

Among individual stocks, Apple component makers Sunny Optical

2382, +2.61%

  and AAC

2018, +1.58%

 rose in Hong Kong trading, along with Sun Hung Kai Properties

16, +1.93%

  and Bank of China

3988, +1.52%

 . Hyundai Motor

005380, +1.32%

  advanced in South Korea, while BHP

BHP, -0.93%

  and Oil Search

OSH, -1.89%

  fell in Australia.

Stocks ended lower Friday, after the Dow briefly topped the 29,000 milestone, with investor euphoria over recent record highs deflated by data showing slower-than-expected U.S. jobs and wage growth in December. The S&P 500 index

SPX, -0.29%

  fell 0.3% to 3,265.35 from its record set Thursday. The Dow Jones Industrial Average

DJIA, -0.46%

  briefly topped the 29,000 level for the first time but ended down 0.5%. The Nasdaq composite

COMP, -0.27%

  dropped 0.3%, to 9,178.86.

Benchmark U.S. crude

CLG20, +0.25%

  gained 1 cent to $59.05 per barrel in electronic trading on the New York Mercantile Exchange. The contract lost 52 cents on Friday to close at $59.04. Brent crude

BRNH20, +0.22%

 , used to price international oils, retreated 6 cents to $64.92 per barrel in London. It declined 39 cents the previous session to $64.98.

The dollar

USDJPY, +0.36%

  gained to 109.62 yen from Friday’s 109.46 yen.

The Associated Press contributed to this report.

Source link

2020-01-13