Asian stocks drift as investors await fresh moves on trade

SEOUL, Korea, Republic Of – Asian stock markets were drifting Thursday in mixed trading as investors awaited further moves in global trade disputes.

KEEPING SCORE: Japan’s Nikkei 225 added 0.2 per cent to 22,839.59, while South Korea’s Kospi shed 0.2 per cent to 2,285.99. Hong Kong’s Hang Seng edged 0.1 per cent lower to 28,107.16 while the Shanghai Composite Index slipped 0.3 per cent to 2,777.41. Australia’s S&P-ASX 200 gained 0.3 per cent to 6,265.00.

FED TESTIMONY: Federal Reserve Chairman Jerome Powell wrapped up his semi-annual testimony to Congress about economic and monetary policy with an overall positive assessment. However, he warned that trade battles with China and higher U.S. tariffs on foreign products cause higher inflation that might require a change of strategy.

ANALYST’S TAKE: “The tone is little changed from yesterday with earnings and the Fed relief carrying markets higher and providing positive leads for us here in Asia. That said, markets lack real conviction amid the waffling sentiment,” Jingyi Pan of IG said in a commentary.

WALL STREET: U.S. stock indexes finished slightly higher Wednesday. The S&P 500 index rose 0.2 per cent to 2,815.62. The Dow Jones Industrial Average added 0.3 per cent to 25,199.29. The Nasdaq composite finished nearly flat, losing 0.67 points to close at 7,854.44. The Russell 2000 index of smaller-company stocks gained 0.3 per cent to 1,691.87.

OIL: Benchmark U.S. crude added 12 cents to $68.88 per barrel in electronic trading on the New York Mercantile Exchange. On Wednesday, the contract rose 1 per cent to finish at $68.76 a barrel in New York. Brent crude, used to price international oils, lost 6 cents to $72.84 per barrel in London. It added 1 per cent to settle at $72.90 a barrel on Wednesday.

CURRENCIES: The dollar fell to 112.70 yen from 112.85 yen. The euro strengthened to $1.1647 from $1.1638.