Asian shares mixed ahead of US jobs data

A woman walks past a screen showing the world stock index at Hong Kong Stock Exchange in Hong Kong. AP FILE PHOTO

HONG KONG—Asian markets were mixed in cautious trading on Tuesday as investors awaited the release of delayed US September jobs data later in the day.

The dollar edged up against the yen, returning to its upward trend after this month’s Washington standoff over the debt ceiling and budget had sent investors running to the Japanese unit.

Tokyo rose 0.13 percent, or 19.68 points, to 14,713.25 thanks to the weakening yen, while Sydney climbed 0.40 percent, or 21.3 points, to 5,373.1. Seoul added 0.15 percent, or 3.11 points, to end at 2,056.12.

However, Shanghai fell 0.83 percent, or 18.59 points, to end at 2,210.65 and Hong Kong lost 0.52 percent, or 122.16 points, to end at 23,315.99

“Market participation levels are likely to remain low until data can help confirm the state of the US economic recovery,” said Hiroichi Nishi, general manager of equities at SMBC Nikko Securities.

With last week’s global rally—fueled by the US deal to reopen the government after 16 days and avert a devastating default — out of the way, attention has turned back to economic numbers, with the non-farm payrolls figures in focus.

They had been due out at the beginning of the month but were put off because of the US government shutdown. Traders will pore over them for clues about the state of the US economy.

However, Kathy Lien, managing director at BK Asset Management, said there would likely be a cautious reaction to a strong report because it predates the shutdown, which likely depressed hiring.

She added that if jobs growth misses expectations, “the dollar could be in even more trouble because October payrolls are expected to be much weaker.”

Economists say there is a good chance the US Federal Reserve will delay winding down its stimulus program—which depressed the value of the dollar—until possibly the new year.

On currency markets, the dollar was changing hands at 98.34 yen in the afternoon compared with 98.15 yen in New York on Monday, while the euro fetched $1.3674 and 134.49 yen compared with 1.3681 and 134.26 yen.

Wall Street was unable to provide a strong lead as investors took a breather after last week’s strong gains.

The Dow was flat and the S&P 500 edged up marginally to another record high, while the tech-rich Nasdaq added 0.15 percent.

In oil trade, New York’s main contract, West Texas Intermediate for delivery in November, fell 80 cents to $98.42 a barrel, extending its slide after hitting three-month lows late Monday. However, Brent North Sea crude for December gained 22 cents to $109.86.

Gold cost $1,313.90 at 1048 GMT compared with $1,315.41 on Monday.

In other markets:

— Taipei was virtually unchanged, dipping 1.05 points to 8,418.27.

Taiwan Semiconductor Manufacturing Co. rose 1.36 percent to Tw$111.5 while Chunghwa Telecom fell 1.95 percent to Tw$90.6.

— Wellington rose 0.61 percent, or 29.23 points, to 4,831.79.

Fletcher Building was up 1.37 percent at NZ$9.64 and Air New Zealand added 1.92 percent to NZ$1.59.

— Bangkok added 0.61 percent, or 8.82 points, to 1,457.36.

Oil company PTT gained 0.31 percent to 321 baht, while coal producer Banpu jumped 0.85 percent to 29.75 baht.

— Mumbai fell 0.14 percent, or 28.92 points, to 20,864.97 points.

Private pharma firm Wockhardt fell 4.29 percent to 458.2 rupees, while aluminium producer Hindalco slid 1.56 percent to 116.4 rupees.

— Singapore edged up 0.45 percent, or 14.45 points, to 3,210.21.

United Overseas Bank gained 0.48 percent to Sg$20.89 while global farm commodities supplier Olam International rose 3.99 percent to Sg$1.57.

— Kuala Lumpur rose 0.05 percent, or 0.97 points, to 1,803.58.

Sime Darby gained 1.27 percent to 9.58 ringgit, Telekom Malaysia added 0.19 percent to 5.15 while Malayan Banking dipped 0.40 percent to 9.95 ringgit.

— Manila ended flat, edging up 6.04 points to 6,603.60.

Ayala Land fell 0.15 percent to 30.60 pesos and its parent Ayala Corp. shed 0.57 percent to 612 pesos.

— Jakarta ended down 1.43 percent, or 65.44 points, at 4,512.74.

State miner Aneka Tambang fell 1.26 percent to 1,570 rupiah, while Bank Permata jumped 2.14 percent to 1,430 rupiah.

Originally posted: 5:14 pm | Tuesday, October 22nd, 2013