Major Indices Tracking Higher, Japan Benchmarks Still Outperforming

The major regional equity indices are all tracking higher, with some pockets of weakness in SEA. We had a positive lead from US cash trading on Wednesday, while US futures have also firmed in the first part of Thursday trade. Nasdaq futures are outperforming, up 0.35%, and the active contract is back above 17000. Eminis are up 0.19% at this stage, near 4829.

• Japan markets once again remain the standout. The Nikkei 225 is tracking nearly 2% firmer at this stage, after posting a similar gain yesterday. The Topix is trailing slightly at +1.7%.
• A modest yen recovery hasn't dampened sentiment, although the yen has only pared Wednesday losses modestly. The electric appliances sector has led the way again.
• Hong Kong markets are much stronger to the lunch time break, +1.51% for the HSI. The beaten up tech sub sector is up 1.83% to the break.
• China mainland indices are higher, but only modestly. At the break, the CSI 300 is up 0.29%.
• The Kospi and Taiex indices are modestly higher at this stage, but still underperforming Japan gains.
• In SEA, Malaysia and Thailand markets are weaker, while modest gains are evident elsewhere.