Asian markets ended lower Wednesday, as investors assessed mining giant BHP Billiton’s first decline in annual profit in three years, while Japanese trade figures also weighed on sentiment.
In Japan, the Nikkei 225 Index gave back 25.18 points, or 0.3%, to 9,131.74
The Hang Seng Index in Hong Kong plummeted 212.31 points, or 1.1%, to 19,887.78
Analysts in Hong Kong cautioned against reading too much into Wednesday’s action, saying seasonally low trading volumes were a factor in the weakness.
Taking the spotlight in a quiet data calendar this week, Japan announced ahead of the market open that it swung to a trade deficit in July, as exports plunged.
Exports fell 8.1% from a year earlier, far outpacing expectations for a 3.6% fall. Shipments to top trading partner China decreased almost 12% while U.S.-bound exports rose 4.7%.
Japanese steel makers dropped in Tokyo, with Nippon Steel Corp. down 1.7% and Sumitomo Metal Industries Ltd. lower by 1.6%.
Analysts have recently raised the alarm about increasing Chinese steel production in face of price falls for the metal.
Maanshan Iron & Steel Co. fell 5.5% and Angang Steel Co. lost 2.2% in Hong Kong, while Korean steel major Posco fell 1.8%.
Also in Seoul, shares of computer-chip maker Samsung Electronics Co. dropped 1.8% as its high-profile patent battle with Apple Inc. headed to jury deliberation in the U.S.
Chinese computer maker Lenovo Group Ltd. lost 2.7% in Hong Kong.
In Japan, consumer electronics giant Sony Corp. traded down 1.1%, while Panasonic Corp., retreated 2.6%.
Shares of computer games firm Nintendo Co. lost 0.7% and those of Kyocera Corp. fell 1.1%. Kyodo News reported the two were among companies under investigation by a U.S. trade body over possible wireless patent infringement.
Overnight gains for the euro — on the back of a recent advance fueled by hopes for European Central Bank bond buying — helped some Japanese names with strong European exposure. Mazda Motor Corp. traded in positive territory for part of the day, but ended off 0.5%.
Oil and metal extractors saw some losses in Hong Kong. Cnooc Ltd. fell 1.7%, extending a dive from the previous session after disappointing earnings, while PetroChina Co. fell 2.3% ahead of its own earnings due later in the day.
Likewise, Aluminum Corp. of China — due to give results on Friday — gave up 2.1% in Hong Kong.
Also on the earnings front, China Telecom Corp. posted a more-than-8% drop in its first-half profit. But with the result beating estimates, China’s top fixed-line operator saw its Hong Kong shares rally 4.5%.
Anglo-Australian mineral giant BHP Billiton Ltd. declined 0.3% after it said that it’s looking to move to a less capital-intensive design for its Olympic Dam project in South Australia.
Current market conditions, including subdued commodity prices and higher capital costs, were behind the decision, the firm said as it announced a 35% drop in fiscal-year profit to $15.4 billion.
The Australian energy sector retreated, with Woodside Petroleum Ltd. moving down 3.1% after reporting a 1.9% decrease in first-half net profit.
Suncorp Group Ltd. saw a 0.7% boost for its shares, however, as the insurer reported a 60% jump in full-year earnings.
In other markets
Shanghai’s CSI 300 index subtracted 18.12 points, or 0.8%, to 2,295.59
Korea’s Kospi index slid 8.03 points, or 0.4%, to 1,935.19
The Singapore Straits Times Index dropped 16.30 points, or 0.5%, to 3,049.47
Taiwan’s Taiex Index fell 10.23 points, or 0.1%, to 7,496.58
New Zealand’s NZX index dipped 29.36 points, or 0.8%, to 3,658.38
Australia’s ASX Index eased 7.33 points, or 0.2%, to 4,376.04
