Asia Pac Follows Wall St Lower, Kospi Outperforms

Most Asia Pac markets are following the negative lead from US markets on Friday night and are weaker for Monday’s. Losses aren't large, at least by recent standards, with higher US futures helping at the margin. Of the major indices, the Kospi is the main outperformer, around flat for the session.

• US futures are higher across the 3 main indices. Eminis back above 3600, close to +0.50% for the session. Some positive spill-over from UK fiscal developments has aided sentiment at the margin today. US yields are lower as well (2yr back to 4.46%, -3bp for the session).
• China and HK equities have lost ground. Xi's speech from the party congress over the weekend didn't give any major indications of a turnaround in policies related to Covid, housing etc. The HSI is down 1.2% at this stage, with tech off by 3%. In China, the CSI 300 is down -0.44%. Note Q3 GDP and September monthly activity figures are due tomorrow.
• The Nikkei 225 is off by over 1.20%, the Taiwan Taiex by 1.5%, in line tech weakness in US markets on Friday. The Kospi has outperformed, flat for the session and back above 2200. We were sub 2180 in early trading. Foreign buying has reportedly returned for tech names like Samsung.
• The ASX 200 is off by 1.40%, dragged lower by mining names for the most part. Lower commodity prices will be weighing.