Asian Markets Mixed as Trade Talks Restart Oct. 10

Asian and Pacific Rim equity markets were mostly mixed by Friday afternoon. Asian traders are monitoring trade commentary between the United States and China as high level trade talks will resume on October 10.

In Japan, the Asian headline Nikkei 225 was down over 1.1 percent. Shares of blue chip Softbank Group shed 2.36 percent. The Topix index, in Tokyo, was down over 1.5 percent.

In Japanese corporate news, shares of Apple supplier Japan Display fell over eight percent. The company has reported that the Chinese investment firm Harvest Group will withdraw from a bailout of the company.

The South Korean Kospi composite index was down over one percent and the Australian S&P ASX index rose 0.35 percent by lunchtime.

In Chinese economic data, industrial profits for the month of August contracted two percent on an annual basis. This data was released by the National Bureau of Statistics today. In July, this number added 2.6 percent and was up 3.1 percent for the month of June.

The Chinese equity markets were mixed by the afternoon. The Shenzhen composite added 0.36 percent. The Shanghai composite lost a fraction and the Shenzhen component was up a quarter of a percent.

Asian Traders Monitor Positive Trade Comments but Remain Skeptical

There have been some positive comments out of China’s commerce ministry regarding trade talks with the United States. Still traders remain cautious.

On the other hand, the United States is not very likely to extend a waiver over Huawei Technologies’ blacklist.

Trade talks between the United States and China are scheduled to resume in Washington DC on October 10.

Yesterday, Richmond Federal Reserve President Thomas Barkin said the U.S. economy remains firm. He is not sure further monetary easing is needed at this time.