Asian markets were mostly lower on Thursday, as traders focused on a meeting between U.S. President Donald Trump and Chinese President Xi Jinping later in the day.
The Nikkei 225 in Japan plummeted 264.21 points, or 1.4%, to 18,597.06 on yen strength. The Japanese currency traded at a four-and-a-half-month high at 110.50 against the U.S. dollar on safe-haven buying.
In Hong Kong, the Hang Seng Index dumped 127.08 points, or 0.5%, to 24,273.72
In corporate news, Toshiba reportedly sacked the chairman of Westinghouse Electric, its U.S. nuclear subsidiary, before the latter filed for bankruptcy last week. The Japanese conglomerate faces billions of dollars in losses due to massive cost overruns incurred by Westinghouse. Toshiba shares closed 0.05 percent lower to close at 214.8 yen.
Major Japanese automakers also tumbled on the back of the stronger yen. Honda shares closed 1.9% lower at 3,148 yen, while Toyota shares fell 1.7% to end at 5,810 yen.
Korean automakers were also under pressure in Asian trade. Kia Motors finished 0.3% lower at 35,850 won per share, while Hyundai Motor shares tumbled by 1% to finish at 148,000 won.
South Korean automakers are expected to come under pressure due to poorer sales in China and the U.S., Nomura research analyst Angela Hong said in a note. Hyundai Motor, she said, was likely to experience a further fall in net profits due to rising credit losses and funding costs.
Singtel shares were down 0.8% after the company's recent 564-million-Singapore-dollar ($402-million U.S.) expenditure on spectrum rights. However, S&P Global Ratings said its ratings on the Singaporean telco would remain unaffected.
Trump has expressed ahead of the Florida summit that North Korea will be a key area of focus after the hermit state's latest ballistic missile launch. Media reports have it that trade will also be in the spotlight during the two-day summit — although it is unlikely that major breakthroughs will be made.
Australian markets fell Thursday, pressured by its telecommunications and financials sub-indexes.
The Australian dollar was steady at $0.7540 U.S., but still lower compared to levels around $0.76 seen before the RBA decision to hold policy on Tuesday.
CHINA
The CSI 300 in Shanghai bucked the trend and gained 10.16 points, or 0.3%, to 3,514.05
On the economic data calendar, China reported its services sector grew the slowest level in six months in March. The Caixin Purchasing Managers' Index was above the 50-level, but came in at 52.2, lower than the 53.2 expected.
In other markets
In Taiwan, the Taiex index slumped 51.68 points, or 0.5%, to 9,897.80
The Kospi Index in Korea faded 8.1 points, or 0.4%, to 2,152.75
In Singapore, the Straits Times Index fell 0.96 points to 3,175.59
In New Zealand, the NZX 50 advanced 24.47 points, or 0.3%, to 7,289.52
In Australia, the S&P/ASX 200 dropped 19.91 points, or 0.3%, to 5,856.29
