FX.co ★ Asian Markets Trade Mixed

On Monday, Asian stock markets displayed a mixed performance, influenced by overall positive signals from Wall Street on Friday. This came as investors adjusted their expectations regarding potential U.S. Federal Reserve interest rate cuts this year, prompted by last week's largely encouraging U.S. economic data. Meanwhile, recent Chinese economic data bolstered calls for further economic stimulus measures. Persistent geopolitical concerns continued to impact the markets, and Asian markets had closed mixed the previous Friday.

In the United States last week, recent reports revealed that retail sales in September exceeded expectations, while jobless claims surprisingly declined. However, industrial production saw a decrease, reversing the growth experienced in August.

The Australian stock market is witnessing a notable upswing on Monday, rebounding from the losses suffered in the previous session. This increase follows the overall positive trend seen on Wall Street on Friday. The S&P/ASX 200 index is climbing past the 8,300 mark, buoyed by strong performances in sectors such as gold mining and technology.

Currently, the S&P/ASX 200 Index has risen by 53.20 points, or 0.64%, reaching 8,336.40, after peaking at 8,349.70 earlier. The broader All Ordinaries Index has gained 50.40 points, or 0.59%, to stand at 8,601.60. It is noteworthy that Australian stocks closed significantly lower on Friday.

Among major mining companies, BHP Group, Fortescue Metals, and Rio Tinto each recorded gains exceeding 1%. However, shares of Mineral Resources plunged by nearly 11% after the board reaffirmed its "full confidence" in managing director Chris Ellison following an investigation by The Australian Financial Review regarding alleged tax evasion over several years. The oil sector mostly experienced gains, with Origin Energy slightly up by 0.1%, Beach Energy ahead by more than 2%, and Santos increasing by over 1%. Woodside Energy saw a gain of almost 1%.

In the technology sector, Block, Afterpay’s owner, climbed more than 2%, Xero advanced by over 1%, and Zip gained 0.4%. Conversely, Appen faced a decline of nearly 4%, and WiseTech Global plunged over 11% following a board-initiated review of allegations against its founder and CEO, Richard White. The review stemmed from a personal dispute involving financial settlements.

Gold mining stocks mostly rose, with Evolution Mining up by 3.5%, Resolute Mining increasing by almost 4%, and Gold Road Resources gaining more than 3%. Northern Star Resources and Newmont each added almost 2%.

Among Australia's largest banks, Commonwealth Bank rose by nearly 1%, while National Australia Bank, ANZ Banking, and Westpac experienced modest gains between 0.1% and 0.5%.

In currency trading, the Australian dollar stands at $0.672.

Japan's stock market is modestly higher on Monday, continuing gains seen in the previous session. The Nikkei 225 Index surpassed the 39,000 threshold, buoyed by overall positive cues from Wall Street on Friday, with notable contributions from major index players and technology firms, though gains were somewhat constrained by weaknesses in financial stocks.

The Nikkei 225 Index concluded the morning session at 39,110.95, representing an increase of 129.20 points or 0.33%, having touched a morning high of 39,048.44. Japanese shares had ended modestly higher on Friday.

In corporate highlights, major player SoftBank Group edged up by 0.3%, whereas Fast Retailing, Uniqlo's parent, saw a slight decline of nearly 1%. In the automotive sector, Honda gained almost 1%, while Toyota increased by 0.4%.

Screen Holdings and Tokyo Electron saw modest rises of 0.3 to 0.4%, whereas Advantest enjoyed a gain of over 1% in the tech sector.

In banking, Sumitomo Mitsui Financial fell by nearly 2%, Mitsubishi UFJ Financial dropped over 1%, and Mizuho Financial declined by 0.5%.

Among exporters, Sony and Mitsubishi Electric increased by 0.5% each, while Panasonic grew by nearly 1%. Canon, however, edged down by 0.5%.

Rakuten Group surged by nearly 4%, with M3 increasing by over 3%, while Kawasaki Kisen Kaisha and LY each advanced almost 3%.

Conversely, Sumitomo Pharma experienced a loss of more than 4%, with Tokyo Electric Power and NEC declining by nearly 3% each.

In currency markets, the U.S. dollar is trading in the lower 149 yen range.

Across the broader Asian region, New Zealand, Indonesia, Hong Kong, and Singapore saw declines ranging from 0.1% to 0.7%, while China, South Korea, and Taiwan experienced gains between 0.1% and 0.8%. Malaysia remained comparatively stable.

On Wall Street, stocks largely rose on Friday, post a session marked by minimal changes. The Nasdaq, known for its tech stocks, spearheaded the gains, while the Dow concluded the day slightly higher, marking a new record closing high.The Nasdaq advanced 115.94 points, or 0.6%, reaching 18,489.55, while the S&P 500 increased by 23.20 points, or 0.4%, hitting a new record closing high of 5,864.67. The Dow Jones Industrial Average, after an initial decline, finished the session with a gain of 36.86 points, or 0.1%, at 43,275.91.

In Europe, market activity was mixed. The FTSE 100 Index in the UK decreased by 0.3%, whereas the French CAC 40 Index and the German DAX Index both recorded gains of 0.4%.

On the commodities front, crude oil prices declined on Friday after the Organization of the Petroleum Exporting Countries (OPEC) and the International Energy Agency revised their oil demand forecasts downward. West Texas Intermediate (WTI) crude oil futures for November delivery dropped $1.45, or 2.05%, settling at $69.22 per barrel, marking a weekly decline of over 8%.