Asian Equities Move Lower on US CPI Impact, Hong Kong Reopens

Asian equities decline today, as robust US CPI quashes rate cut expectations, pushing yields higher. Hong Kong equities reopen after a 2.5-day break, with mainland China remaining closed.

• Hong Kong equities are lower today, back after a 2.5 day break and with little in the way of notable headlines to influence the markets, traders are still showing sign of concerns around whether or not recent policy announcements in support of the equity markets will be enough to halt the recent rout, while the higher than expected US CPI data hasn't done much to help equity markets. As trading gets underway HSI is down 1.00%, HS Tech is 1.24% lower, after being down as much as 2.40% earlier, while the Mainland property index is 2.39% lower
• Japan equities are lower today erasing most of yesterday’s gains. The Nikkei 225 is still nearing all-time highs not seen since 1989, trading just 4.5% below those levels. The put-to-call ratio on the Nikkei 225 has dropped even as the benchmark climbed 13% this year, suggesting that bullishness is growing despite technical signals the rally is getting overheated while the most active index option traded in Japan on Tuesday was a call that benefits if the Nikkei climbs above 40,000 in March. The NIkkei is 0.67% lower today while the Topix is currently off 1.10%.
• South Korea equities are lower at the Kospi trade off 1.50%, as stronger than expected US CPI causing a tech sell off
• Australia equities are also lower today as the ASX 200 trades 1.00% lower, led by financial as CBA fell 3.40% the largest contributor the the move lower. Elsewhere Graincorp fell by 12% after poor earnings guidance
• Elsewhere in SEA, NZ is 1% lower, Singapore down 1.30%, while Indonesia is closed today due to presidential elections