Hong Kong/China Weighed By Earnings Concerns, Some Strength Elsewhere

Some of the major indices are weaker, with Hong Kong and China markets the main drags. Earnings concerns at China's top food delivery operator have weighed on broader sentiment in these markets. In terms of US futures we sit around 0.16% higher at the stage for both Eminis and Nasdaq futures. Eminis last near 4571, Nasdaq futures around 16075.

• The early impetus in US Tsy futures was higher, amid further dovish Fedspeak, although we are now off session highs. This coupled with weakness in HK/China stocks has weighed on broader sentiment, although there are some pockets of strength.
• At the break, the HSI sits 2% weaker. Food delivery business Meituan stating a slowdown for its services was likely in Q4 (see SCMP here), which has seen shares in the company back to early 2020 levels. The CSI 300 is off 0.67% at the break, with the index back sub the 3500 level.
• Headlines crossed (BBG) that the US congress may drop China investment curbs from its defense bill, but this hasn't impacted sentiment positively at this stage.
• Elsewhere, Japan markets are mixed, with the Topix down 0.30%, but the Nikkei 225 is flat. Weaker banks have been a drag for Japan stocks.
• South Korea and Taiwan markets are around flat. The ASX 200 is doing better, up nearly 0.40%, with health care stocks firmer.
• In SEA, markets are mixed, with fairly muted trading overall.