Asian Shares Mixed As China Worries Persist

asian mixed 27oct22 lt

Asian shares ended mixed on Thursday as Fed pivot hopes were offset by concerns over China's growth trajectory.

The dollar was pinned near one-month lows on bets of a less hawkish Fed, while oil slipped in Asian trading after having surged nearly 3 percent on Wednesday, bolstered by record crude exports in the United States.

China's Shanghai Composite Index slid 0.6 percent to 2,982.90 after data showed profits at China's industrial firms sank for a third consecutive month in September.

Power generating giant Datang International Power Generation plunged 10 percent after reporting weak third-quarter earnings.

The yuan briefly touched a 1-1/2-week high against the dollar before reversing course amid reports that Chinese cities from Wuhan in central China to Xining in the northwest are tightening curbs against growing COVID outbreaks.

Hong Kong's Hang Seng index climbed 0.7 percent to 15,427.94.

Japanese shares fell amid reports of intervention by the government and the Bank of Japan in currency markets. Focus shifted to an interest rate decision by the Bank of Japan on Friday, when the central bank is expected to stick with rock-bottom rates.

The Nikkei 225 Index eased 0.3 percent to settle at 27,345.24, while the broader Topix closed 0.7 percent lower at 1,905.56. Automakers led the losses, with Toyota Motor, Nissan and Honda falling 1-2 percent.

Seoul stocks rallied after data showed the country's economy grew 0.3 percent in the September quarter backed mostly by consumer spending and investment in facilities. The Kospi jumped 1.7 percent to 2,288.78, extending gains for a second straight session.

Samsung SDI topped the gainers list to close 7.4 percent higher at 727,000 won, while chip giant SK Hynix lost 4.2 percent after reporting sluggish third-quarter earnings earlier this week.

Australian shares rose to their highest levels in over a month. The resources-heavy S&P/ASX 200 Index rose half a percent to 6,845.10 as gains in commodity prices on the back of a weaker dollar helped lift miners and energy stocks. The broader All Ordinaries Index gained 0.5 percent to close at 7,042.30.

Lynas Rare Earths shares soared 5.6 percent after the rare-earths miner reported a 35 percent jump in first-quarter revenue on strong rare earths demand.

Across the Tasman Sea, New Zealand's benchmark S&P NZX-50 Index rose 0.5 percent to 11,100.52.

U.S. stocks ended mostly lower overnight, as warnings from the tech behemoths overshadowed investor optimism over falling Treasury yields.

The tech-heavy Nasdaq Composite showed wild swings before closing 2 percent lower following negative earnings news from tech giants Microsoft and Alphabet.

The S&P 500 shed 0.7 percent, while the Dow finished marginally higher to stretch its winning streak to a fourth session on the back of better-than-expected quarterly earnings from Visa.

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