Asian Markets Mostly Mixed Monday Morning

The Asian and Pacific Rim equity and financial markets are mostly mixed by mid-morning, Monday, as market participants are being rattled by increased geopolitical tensions. Especially between China and the United States of America.

The United States, over the weekend, warned of even more sanctions against Chinese technology firms as political tensions continue to increase between the two economic superpowers.

Financial markets in the United States are closed because of the Labor Day holiday.

India has surpassed the United States and Brazil to have the most coronavirus (Covid-19) infections in the world.

In Japan, the Asian benchmark the Nikkei 225 is down 0.47 percent by the late morning, Hong Kong time. In Tokyo, the broader Topix index is trading down 0.17 percent.

Across the Korean Strait, he Kospi composite index was mostly flat this morning.

Elsewhere in the Asian and Pacific Rim, the Australian S&P ASX 200 is trading down nearly 0.7 percent.

Asian Market Participants worry about Political Tensions

Over the weekend, a U.S. defense department spokesman said that the Whitehouse was considering imposing export restrictions on the semiconductor firm Semiconductor Manufacturing International Corporation (SMIC), headquartered in China.

Semiconductor Manufacturing International Corporation (SMIC), is a key company in China who is trying to expand their domestic semiconductor. This move by the United States and the Trump Administration would mean a major escalation in the ongoing technology was between China and the United States.

Dollar continues to Gain Ground as the Japanese Currency Weakens

The dollar index, which tracks the greenback in a basket against six other currencies, was trading at 92.86 this morning after gaining ground from a low of 92.00 last week.

Looking at the USD/JPY currency exchange rate was trading near 105.60 yen. The benchmark AUD/USD Forex market was las trading a 0.7284 after declining below 0.7320 last week.