Most Regional Markets Tracking Lower, Japan Shares Outperforming

Outside of Japan, Asia Pac region stock markets are mostly weaker. China and HK markets track lower. US equity futures are higher though. Eminis were last around 4503, up from recent lows in the 4480/4490 region, which is still offering support. We are +0.40% firmer, but remain comfortably below Wednesday session highs around 4536. Nasdaq futures are +0.43% higher, but this unwinds less than half of Wednesday's cash index loss. Focus remains very much on the upcoming US CPI print.

• In Hong Kong the HSI is off by close to 1% at the break. The HSTECH index is off by 1.50%. Late US time on Wednesday, US President Biden signed an executive order around US investment limits in China technology. This may be weighing on sentiment, but has been well telegraphed and some commentators suggest it is not as limiting as feared.
• Mainland China shares have also tracked lower. The CSI 300 is down nearly 0.50% at the break. The real estate sub index is close to flat. Some support is coming from higher energy stocks, which is flowing from the oil bounce.
• Japan shares are bucking these trends, with the Topix +0.70% firmer, and Nikkie 225 at +0.60% higher at this point. Top contributors to the rise have been car makers Honda and Toyota.
• South Korean shares are seeing less outperformance compared to yesterday, with the Kospi off by ~0.40%. The Taiex is down 1.20% in Taiwan, in line with fresh weakness in the SOX index in recent sessions.
• Australian shares are a touch higher, while most markets are modestly lower in SEA. Indian shares are around -0.30% lower at this stage, with the RBI decision due shortly.