Home » Market News » Asian Markets Trade with Caution despite Trade Hopes

Asian Markets Trade with Caution despite Trade Hopes

asian, chinaAsian traders traded cautiously, on Thursday, despite hopeful comments regarding the ongoing trade war between the United States and China. U.S. officials are currently in Beijing negotiating with their counterparts hoping to hammer out a deal before the March 1 deadline.

Traders ended up being more cautious by the afternoon as they wait for clarity and more details regarding progress as the negotiations advance.

The Asian benchmark in Japan, the Nikkei 225, was up a tad. Shares of Fast Retailing recovered from earlier losses. Their stock was up one percent.

Elsewhere in the Asian and Pacific Rim, the Australian S&P ASX 200 reversed early gains to trade lower to flat by the afternoon. The heavily weighted financial sub-index fell 0.82 percent.

Asian Traders Closely Monitor Trade Comments as Negotiations Continue

Traders are digesting reports that President Donald Trump might be willing to extend the March 1 deadline by 60 days. This March deadline means higher tariffs on Chinese imports into the United States.

There was import and export data out of China this morning, as well. This was a small boost to their markets.  Dollar denominated exports for January gained 9.1 percent annually. January exports  contracted by 3.2 percent from a year earlier. In December, they fell 4.4 percent.

January dollar-denominated imports, for January, fell 1.5 percent annually. This was better than expected. Imports for December were down 7.6 annually.

The markets on the mainland were mixed, despite the data, by the afternoon. The Shanghai composite lost 0.32 percent. The Shenzhen composite was up 0.125 percent and the Shenzhen component gained a fraction

In Hong Kong, the Hang Seng index lost 0.37 percent.

About David Frank

David has his MA and PhD in Economics. He is a technical analyst who has been trading in the Forex world for over a decade. As an analyst and trader, David believes in the big picture by blending together technical analysis with the fundamentals behind the scenes in the Forex and Bond markets. David’s trading strategy is unique. He blends an understanding of fundamental and macroeconomics with technical analysis to offer a unique view into Forex. He applies several strategies including carry long positions, to take advantage of high yields in non-volatile markets, as well as using quicker, chart related analysis for day trading.

Check Also

euro

Euro Currency falls below 1.2080 to Challenge 1.2070

0.0 00 Looking at the benchmark EUR/USD currency exchange rate, the euro currency has fallen …