Higher In Asia On Tech Gains

Major Asia-Pac equity indices are mostly higher at writing, tracking a positive lead from Wall. St. Tech stocks largely outperformed peers, while energy and utility names were under pressure, with crude operating off of Thursday’s cycle highs.

• The Nikkei 225 leads gains amongst regional peers, sitting 1.8% higher, and is set to snap a run of 5 consecutive daily falls.
• The CSI300 added 1.0%, aided by the PBoC injecting a net Y290bn into the financial system via its regular OMOs. The tech heavy ChiNext and STAR50 indices are 2.6% and 2.2% better off at writing respectively, benefitting from the PboC’s liquidity injection and tech’s general outperformance.
• The Hang Seng brings up the rear, sitting 0.4% softer at writing, with a broad recovery rally in China-based tech stocks (HSTECH: +1.3%) countered by heavy losses in financials, including index heavyweight HSBC (-3.2%). The index is on track to record one of its worst weekly performances since the beginning of the pandemic, as fears over fresh regulatory crackdowns on China-based tech companies and high-profile earnings misses have mixed with risk aversion from the ongoing Russian invasion of Ukraine.
• U.S. e-mini equity index futures struggled throughout Asia-Pac dealing, sitting 0.4% to 0.8% weaker at typing, after Wall St.’s strong turnaround on Thursday.