Asia stocks settled mostly lower on Tuesday, but Japanese shares added to their recent run of strong gains.
Japan’s Nikkei 225 index gained 34 points, or 0.2%, to 14,636.52. The yen softened versus the U.S. dollar, trading at ¥101.858 from ¥101.908 on Monday.
The Hang Seng Index in Hong Kong dipped 18.88 points, or 0.1%, to 22,944.30
In Japan, exporters were stronger on the weaker yen, with optical equipment maker Olympus Corp. rising 2.2%, semiconductor manufacturer Renesas Electronics Corp. gaining 1%, and industrial robot maker Fanuc Corp. higher by 0.9%.
In the financial sector, banking group Sumitomo Mitsui Financial Group advanced 1.3%, brokerage firm Daiwa Securities Group added 1%, and investment bank Nomura Holdings moved up 0.9%.
In Hong Kong, local retailers took a hit after reports said the Hong Kong government may allow fewer mainland Chinese to visit the city.
Cosmetics chain Sa Sa International Holdings tumbled 3.8%, and smaller rival Bonjour Holdings declined 2.3%.
Jewelry brands also suffered, as Chow Tai Fook Jewellery Group lost 3.2% and Luk Fook Holdings (International) dropped 0.6%.
Australian markets were flat Tuesday, but the Australian dollar strengthened to 92.65 U.S. cents from 92.52 U.S. cents in the previous day.
CHINA
Shanghai’s CSI 300 Composite slipped 9.06 points, or 0.4%, to 2,147.38
In China, just under half the days that made up 2013 registered unhealthy levels of air pollution on a nationwide basis, and 31 days were considered hazardous—this, according to China’s own Environmental Protection Ministry.
Sick of choking from the smoke, the Chinese government is determined to improve air quality, with measures in its previously announced action plan including reducing the use of coal, getting the most-polluting vehicles off the road, and closing down those factories that contribute the heaviest to the problem.
Given this, Société Générale put a note out Monday looking at the economic cost of the cleanup.
In sum, they see a hit of a little over a third of a percentage point to GDP growth cumulatively between now and 2017, noting that "coal, iron and steel, cement and glass production account for around 16% of overall industrial output and 6% of GDP."
In other markets;
Taiwan’s Taiex Index added 19.17 points, or 0.2%, to 9.055.29
Singapore’s Straits Times Index shed 8.82 points, or 0.3%, to 3,274.06
Korea’s Kospi index slid 12.72 points, or 0.6%, to 1,997.63
New Zealand NZX 50 index lost 7.83 points, or 0.2%, to 5,145.85
Australia’s S&P/ASX 200 dipped 1.13 points to 5,511.70
