Asian stock markets are exhibiting a mixed trend on Monday with investors looking for direction amid mixed cues. While concerns about the pace of economic recovery and debt woes in Europe are hurting sentiment to an extent, bargain hunting after recent sharp losses is buoying up a few blue chip stocks in some markets.
The Australian market is trading in positive territory despite coming off its morning highs. Materials, energy and bank stocks buoyed up the indices to higher levels in early trades. Bank stocks too rallied higher and posted notable gains.
The benchmark S&P/ASX 200 index, which rose to 4,551, has drifted down to 4,532, but still remains in positive territory with a modest gain of around 18 points or 0.4%. The broader All Ordinaries index is up 16.5 points or 0.4% at 4,549.
On Friday, the S&P/ASX 200 index had plunged 107.3 points or 2.3% to close at 4,514, while the All-Ordinaries Index ended at 4,533, recording a loss of 111.6 points, or 2.4%.
Among top miners, BHP Billiton, Rio Tinto and Newcrest Mining are trading higher by 1.2%-1.4%. Bluescope Steel, Fortescue Metals, Incitec Pivot and Lihir Gold are also up with notable gains. However, Orica is trading in the red with a modest loss.
Shares of nickel producer Western Areas NL are up nearly 3% following the company tipping a turnaround in fortunes in its first half, after making a loss in the corresponding period a year earlier. The Perth-based company expects a net profit of A$10.7 million in the six months to December 31, compared to a loss of A$12.3 million in the same period in 2008.
Avoca Resources is up 5% following an announcement by the company that it expects to unveil a maiden first-half pre-tax profit of A$40.5 million. This compares to a loss of A$21 million in the prior corresponding period. The company said the estimated first-half net profit was A$29.38 million, compared to a loss of A$14.65 million in the corresponding period in 2008.
In the energy space, Woodside Petroleum is up 2.4%, Santos is gaining about 0.85% and Oil Search is trading higher by 2.2%, while Origin Energy is down in negative territory with a loss of 1.2%.
Among bank stocks, ANZ Bank, Commonwealth Bank of Australia, National Australia Bank and Westpac Banking Corporation are trading higher by 0.5%-1.3%.
Shares of retailer JB Hi-Fi are down more than 4.5% despite the company reporting a 29% increase in first-half net profit.
In the currency market, the Australian dollar opened higher with Friday's positive close on Wall Street lifting demand for high yielding assets. In early trades, the Aussie was quoting at US$0.8685-US$0.8692, up 0.2% from Friday's close of US$0.8668-US$0.8672.
The Japanese stock market opened lower amid concerns over the U.S. economy and debt woes in Europe. A stronger yen also contributed to the decline. However, with investors going in for some bargain hunting after previous session's sharp losses, the market has come off its lows and is currently trading modestly down from the unchanged line.
The benchmark Nikkei 225 index, which tumbled to 9,952.6, its lowest level since early December, is currently trading at 10,025, down 32.1 points or 0.32% from its previous close. The benchmark had ended nearly 3% down on Friday.
Steel and non-ferrous metals stocks are among the notable gainers. Bank and automobile stocks are trading mixed. Manufacturing, pharmaceuticals and chemicals stocks are also exhibiting a mixed trend.
Suzuki Motor Corp. shares declined for the third successive session following an announcement from the company that its group operating profit growth slowed on the quarter in the October-December term.
Shares of Yamaha Motor Co. declined sharply after the motorcycle maker said it logged a 216.2 billion yen group net loss for the year ended December, worse than a previous forecast of a 182 billion yen loss.
McDonald Holdings Co. shares are moving higher following an announcement by the company that its same-store sales rose 10% from a year earlier in the January.
IHI Corp. shares rebounded and moved higher following the company upgrading its operating profit for the year through March.
Furukawa Electric is trading notably higher on reports the firm's group operating profit will likely rise 55% on the year to more than 15 billion yen for the year through March.
Kirin Holdings Co. and Suntory Holdings Ltd. have decided to terminate their merger talks following disagreement over the merger ratio and other key details of their planned union.
On the economic front, Japan's current account surplus expanded more than five-fold from a year earlier in December, the Ministry of Finance said Monday, as stronger overseas demand continued to support the nation's export-led economic recovery. The surplus in the current account, the broadest measure of Japan's trade with the rest of the world, stood at 900.8 billion yen in December before seasonal adjustment. In November, the surplus rose 76.9% to 1.103 trillion yen.
Exports rose 11.7% on year to 5.127 trillion yen, marking the first on-year rise in 15 months. Imports decreased 6.0% to 4.496 trillion yen.
In another news, the Bank of Japan said the average daily lending balance at domestic banks dropped 1.7% on the year to 401.57 trillion yen in January, recording a second straight month of decline. The central bank said the fall came in reaction to the previous year's shift to direct financing amid the financial crisis.
In the currency market, the U.S. dollar traded in the lower 89 yen level in early deals in Tokyo. The yen is currently trading at 89.30 to the U.S. dollar.
In the South Korean market, banking, steel, oil and shipping stocks are seeing a sell-off, while automobile and technology stocks are attracting buyers.
The benchmark KOSPI index, which declined to around 1,555.8 earlier in the day, is currently trading at 1,561, down 6.1 points or 0.38% from its previous close.
Among technology stocks, Hynix Semiconductor is trading 2.5% up, LG Electronics is gaining about 1.5% and LG Display is trading stronger by over 3.5%. However, heavyweight Samsung Electronics is trading in negative territory with a loss of about 1%.
In the banking space, Korea Exchange Bank, Shinhan Financial and KB Financial are trading lower by 2%-2.6%, while Woori Finance is down with a loss of 4%.
Shipping stocks STX Pan Ocean and Daewoo Shipbuilding are trading flat. Hyundai Heavy Industries is up 1.2% and Samsung Heavy Industries is trading lower by 1.4%.
Automobile stocks Hyundai Motor and Kia Motor are up 0.9% and 0.8% respectively. Telecom stocks are trading with notable gains.
Steel stocks Hyundai Steel and POSCO are losing about 1.7% and 1.3% respectively. Oil stocks are also down with notable losses. Airliners Korean Air and Asiana Airlines are trading lower by 2.5% and 4.4% respectively.
Among other markets in the Asia-Pacific region, Shanghai, Hong Kong, India, Indonesia, Malaysia and New Zealand are trading weak, while Singapore and Taiwan are in positive territory with modest gains. Markets across the region had ended with notable losses on Friday.
On Wall Street, stocks posted modest gains on Friday after a significantly volatile session. The major averages closed in positive territory after spending most of the day in the red.
While concerns about the labor market dragged stock prices down around early afternoon, a lower than expected decline in consumer credit and speculation that the European Union would concoct a solution to Greece's debt problems pulled the market out of the red.
The Dow gained 10 points or 0.1% to end at 10,012.2, the Nasdaq advanced by 15.7 points or 0.7% to 2,141.1 and the S&P 500 edged up 3.1 points or 0.3% to 1,066.2.
Major European markets saw substantial losses on Friday. The U.K.'s FTSE 100 and the German DAX index ended lower by 1.5% and 1.8% respectively, while the French CAC 40 index declined by 3.4%.
Crude oil declined to its lowest level in nearly two months on Friday, with a stronger dollar and concerns about global economy causing the decline. Light sweet crude for March delivery settled at US$71.19 a barrel, down US$1.95 on the session.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.