Asian stocks ended mixed in thin trading on Monday as markets in China and Japan were closed for public holidays. Continued hopes for further stimulus measures underpinned sentiment in an otherwise lackluster trading session. All eyes are on the ECB rate decision that will come out on Thursday, with many expecting the central bank to cut its benchmark rate by 25 basis points to a new record low of 0.5 percent. The Federal Reserve's two-day meeting kicks off tomorrow and investors are increasingly confident that the Fed will reiterate its pledge to stick to its ultra-loose monetary policy until unemployment falls to 6.5 percent.
Australian shares gained ground, driven by banks as investors searched for higher yields. The benchmark S&P/ASX 200 rose 0.6 percent, while the broader All Ordinaries index gained half a percent. Westpac advanced 1.7 percent, NAB rose 1.4 percent, Commonwealth added 1.1 percent and ANZ closed 0.7 percent higher. Healthcare and property stocks also rose sharply, while miners lost ground, weighed by lower base metal prices. BHP Billiton edged down 0.1 percent, Rio Tinto fell 0.8 percent, Fortescue Metals lost 2 percent and gold miner Newcrest eased half a percent.
Diversified miner Aquila Resources plunged over 11 percent after its Japanese joint venture partner pulled out of some of its Queensland coal exploration permits. Santos eased 0.2 percent after the oil & gas firm unveiled plans to invest $100 million in a gas drilling and appraisal program over the next 12 months in the Mereenie Gas Fields in Central Australia.
Prime Minister Julia Gillard today vowed to push on with new education and disability schemes despite confirming an A$12 billion write-down of tax revenue forecasts this financial year. "This unusually low revenue, which wasn't forecast even a few months ago, creates a significant fiscal gap over the budget period," Gillard said.
South Korea's Kospi average slid 0.2 percent on foreign selling spurred by worse-than-expected U.S. GDP data. Institutional investors extended their buying streak for the seventh consecutive session by purchasing shares worth 152.2 billion won on a net basis, while foreign investors sold shares worth 173.3 billion won ahead of central bank policy meetings in the U.S. and Europe, official data showed.
Hyundai Motor and its affiliate Kia Motors rose 1.6 percent and 3 percent, respectively after union workers agreed to restart weekend shifts. SK Telecom gained 2.6 percent after Samsung Electronics began selling its latest Galaxy S4 smartphone through three local mobile operators, including SK Telecom. Auto parts maker Hyundai Mobis sank 3.7 percent on disappointing first-quarter results.
New Zealand shares advanced as a rising stock market and falling bond yields saw many investors dump their safe asset holdings and move money into riskier assets. The benchmark NZX-50 rose 0.7 percent to a record high. Among the prominent gainers, Fonterra Shareholders Fund jumped 4.5 percent, retirement village operator Metlifecare soared 4.2 percent to its highest level since October 2008 and rival Ryman Healthcare rallied 3.5 percent to a record high.
Xero, the cloud-based accounting firm, also rose 1.7 percent to a record high. Heavyweight Telecom advanced 1.2 percent after it signed a pact to buy privately-owned New Zealand information technology infrastructure and data center company Revera Limited for 96.5 million New Zealand dollars.
Elsewhere, Hong Kong's Hang Seng index rose 0.2 percent, led by Esprit Holdings on a brokerage upgrade. The Chinese market remains shut until Thursday, while the Japanese market was shut for Showa Day holiday. Benchmark indexes in India, Indonesia, Singapore and Taiwan were up between 0.1 percent and 0.3 percent, but Malaysia's KLSE Composite was moving down 0.2 percent. U.S. stocks turned in a mixed performance on Friday, as investors reacted to a mixed bag of earnings, weak GDP figures as well as weakening but better-than-expected consumer sentiment data. The Dow edged up 0.1 percent, but the S&P dropped 0.2 percent and the tech-heavy Nasdaq shed 0.3 percent.
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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.