Expected Fed Cuts Support Markets, Tech Weighs On Some Indices

MNI (Australia) - Equity markets are mixed during APAC trading with the MSCI APEX 50 down 0.2% but the S&P and Nasdaq futures are flat to moderately higher as UST futures have range traded. The outlook for Fed easing provided some support but tech weighed on other indices.

• Japan’s markets continued to climb higher following the US with the Topix up 1.2% and the Nikkei +1%.
• The unexpected hold of China’s 1-year MLF rate at 2.5% didn’t rattle China’s indices with the CSI 300 up 0.1% and the property component +0.7%. But the Hang Seng is 0.3% lower with the tech index down 2%. Korea is another market that was driven down by tech with the KOSDAQ 1.3% lower and the overall KOSPI -0.3%.
• Despite the tech trends, Taiwan’s TAIEX rose 0.3% supported by the weekend’s election, according to Bloomberg.
• Australia’s ASX 200 closed flat with stronger energy stocks outweighed by weaker miners, but the NZX 50 sank 0.7%.
• India’s Nifty 50 has rallied 0.6% so far in today’s trading.
• ASEAN is also mixed with the Philippines PSEi up 0.8% and Singapore’s Straits Times +0.3% but the Jakarta Comp down 0.2% and the SE Thai flat%.
• US markets are either closed or have shortened trading hours today due to the Martin Luther King holiday. The World Economic Forum is running in Davos. In terms of data, there are euro area IP and trade.