Tracking Higher Led By HSI Rebound

Asia Pac stock indices are mostly higher. Focus remains on HK, where volatility continues, today to the upside. US equity futures are higher, but have not drifted too far from the +0.30/+0.40% range this afternoon.

• Dip buyers look to have emerged again to support the HSI. The index is up over 2.3% at this stage. We are down from earlier highs. The tech sub index was up +6% at one stage, but is now back to +4%. H shares are up by 2.24%.
• China mainland shares are higher, the CSI 300 +1.5%, the Shanghai Composite +0.86%. The Caixin manufacturing PMI surprised on the upside (49.2 versus 48.5 expected), which has helped at the margin. The property sub-index has underperformed though, down 1.42%. Debt payments were suspended by CIFI holdings, weighing on broader sentiment in the sector.
• The Kospi is up over 1.3%, with the index up over the 2300 level. The Taiex has lagged up 0.40%. TSMC is higher, but noted that it had cut procurement orders to some suppliers by up to 50%.
• The ASX 200 is up +1.28%, led by a mixture of names - finance and resource related.
• Indonesia (-0.65%) and Malaysia have been the two laggards today (-1.00%).