Asia Pac Markets Tracking Lower, In Line With Negative US/EU Lead From Tuesday

Regional equities are weaker in Wednesday Asia Pac trade. The major indices are off by more than 1%, following a negative lead from US markets in Tuesday trade. Some South East Asia markets are faring better, but only modestly. US futures have been range bound in the first part of the session, Eminis last around 4453, not too far off recent lows, although some support is evident sub the 4450 level. Nasdaq futures are close to flat.

• China onshore equity sentiment opened up weaker, the CSI 300 down around 0.70% at one stage. However, support was one again evident ahead of the 3800 level. Dips below this region have been supported going back to late May of this year. Still the MSCI China index is poised to erase its post Politburo gains. The real estate sub index is doing much better though, +3.06% firmer at the break.
• New housing data showed house prices eased further in July.
• The HSI is weaker, down -1.39% at the break. Losses have been fairly broad based, with finance companies a drag. The HSTECH index is around 1.30% lower at this stage, down for the 4th straight session.
• Japan markets are weaker, showing a similar beta to US markets in terms of Tuesday's losses. The Topix off by around 1%, the Nikkei 225 slightly weaker at this stage.
• South Korean markets have returned from yesterday's break and tracking weaker, the Kospi down by 1.8%, The Taiex is -0.12% weaker.
• In SEA, Thai markets are the worst performers, the SET off by 0.85%, with the index at fresh multi-week lows near 1500. The near term focus is on the expected Constitutional Court ruling on Pita's renomination as a PM candidate, which is due today. Philippine shares are modestly higher at this stage, +0.50%.