Asian markets traded flat on Tuesday, with gains in South Korea coinciding with weakness in Japanese and Chinese shares, as investors adopted a wait-and-see-attitude ahead of the U.S. presidential election.
Japan’s Nikkei 225 Index dipped 32.29 points, or 0.4%, to 8,975.15
In Hong Kong, the Hang Seng index fell 61.97 points, or 0.3%, to 21,944.43
Metal-related firms were weak in Hong Kong, as Aluminum Corp. of China dropped 0.9% and Angang Steel Co. eased 0.2%.
The Hang Seng Index’s top-weighted component, HSBC Holdings PLC, fell 1.4% after reporting lower quarterly earnings and higher provisions related to a U.S. money-laundering investigation.
Among airlines, Air New Zealand climbed 3.8% after saying a day earlier that it would halt flight service from Hong Kong to London from March 2013, becoming the latest regional carrier to scale back amid weaker demand on some long-haul flights.
An uptick in the yen against the dollar worked to weigh on some currency-sensitive Japanese exporters, with Sony Corp. down 1.8%.
Earnings were also a focus for Tokyo, as Toyota Motor Corp. rose 0.9%, adding to solid pre-earnings gains made in the previous session. Toyota late Monday reported sharply improved earnings and raised its profit outlook.
Asahi Glass Co. advanced 1.7% after updating investors, while Pioneer Corp. lost 3.9%.
Nissan Motor Co. fell 2%. After the close, the car maker reported 7.7% higher quarterly profit but cut its outlook for the year
Foxconn International Holdings Ltd. gained 2.5% in Hong Kong, extending a rally from the previous session when Citigroup and Nomura each said the company may soon join Apple Inc.’s supply chain.
Sister company Hon Hai Precision Industry Co. is already a major Apple supplier. Hon Hai traded 2.6% higher in Taipei, beating a 0.7% advance for the benchmark Taiex.
South Korean car makers Hyundai Motor Co. and Kia Motors Corp. took back some ground lost in the previous session after they said that fuel-economy estimates were overstated for almost one-third of all their cars sold in the U.S. over a two-year period.
Hyundai traded up 4.3%, and affiliate Kia rose 1.6%.
Australian banks were showing some strength. National Australia Bank Ltd. rose 0.4%, while Westpac Banking Corp. extended Monday’s earnings-related gains with a 0.7% increase.
The Reserve Bank of Australia kept its key cash rate on hold at 3.25% on Tuesday. Before the decision, markets had been split on whether the RBA would cut its rate.
CHINA
Analysts said China stocks succumbed to sharp selling after failing to hold an important technical level, an indication that underlying buying interest is relatively weak, though losses were pared back as the session progressed.
The Shanghai CSI 300 Composite Index lost 9.67 points, or 0.4%, to 2,292.21
China’s 18th Party Congress is due to get underway Thursday, marking a leadership transition wherein about two-thirds of the important posts within the government, military and Communist Party will be up for grabs.
In mainland Chinese trading, property stocks took losses, as Gemdale Corp. and Poly Real Estate Group Co. both dropped 1.3%.
In other markets
In Singapore, the Straits Times Index gave back 9.67 points, or 0.4%, to 3,019.33
Korea’s Kospi index added 19.95 points, or 1.1%, to 1,928.17
Taiwan’s Taiex Index gained 51.32 points, or 0.7%, to 7,236.68
Australia’s ASX Index tacked on 10.68 points, or 0.2%, to 4,484.80
Markets in New Zealand had the day off
