Australian shares also moved lower, with the S&P/ASX 200 down 0.66 percent. Trading in Sydney was overshadowed by news of the country’s worst gun attack in more than three decades, an event that authorities said left at least 15 people dead. Market participants reported limited direct impact on listed companies but noted a generally risk-averse tone.
In Hong Kong, Hang Seng Index futures were quoted at 25,735 ahead of the cash session, implying a softer start compared with the previous close of 25,976.79. The mainland Chinese markets were mixed in early action, with investors positioning for economic reports due later in the day. Beijing is scheduled to publish November figures for retail sales, fixed-asset investment and industrial production, data that will be scrutinized for signs of momentum in the world’s second-largest economy.
Monday’s regional weakness followed a broad sell-off in New York on Friday, when major U.S. benchmarks snapped a recent streak of gains. The S&P 500 lost 1.07 percent, the Nasdaq Composite slid 1.69 percent and the Dow Jones Industrial Average eased 0.51 percent after touching an intraday record high earlier in the session. Shares tied to the artificial-intelligence supply chain faced particular pressure: Broadcom tumbled more than 11 percent, dragging on chipmakers and enterprise software names, while AMD, Palantir Technologies and Micron Technology also closed lower.
Market strategists said the shift signaled a brief rotation away from high-growth technology plays toward more value-oriented sectors rather than an outright reversal of the AI investment theme. “Investors appear skittish, not pessimistic, taking a short pause after an extended rally,” one portfolio manager in St. Louis observed.
In currency trading, the Japanese yen was steady near 146 per dollar after the Tankan release, while the Australian dollar weakened slightly to around 65 U.S. cents. U.S. Treasurys were little changed in Asian hours, with the 10-year yield hovering near 4.24 percent.
Traders now look to China’s November economic prints for clues on regional growth prospects. Retail sales had accelerated in October as consumer activity gradually rebounded from pandemic-era disruptions, but analysts remain divided on the durability of that pickup given persistent weakness in the property sector and subdued private investment. Manufacturing output, for its part, has shown signs of stabilizing thanks to policy support, although export demand remains soft.
Beyond China, the week’s macroeconomic calendar features monetary policy meetings in the United States, the United Kingdom and the euro zone. While the Federal Reserve is widely expected to leave its benchmark rate unchanged, any guidance on the timing of potential cuts in 2024 could influence capital flows into Asia. The Bank of Japan’s next policy decision is scheduled for 19 December; continued improvements in the Tankan survey will likely feed into expectations about the eventual exit from negative interest rates, according to researchers at the Bank of Japan.
Volume across Asia was lighter than average, with several investors choosing to stay on the sidelines until the release of China’s data set and the outcome of the major central-bank meetings. Nonetheless, portfolio managers noted that any positive surprises from Beijing could provide a near-term catalyst for beaten-down sectors such as consumer discretionary and materials.
Crédito da imagem: Visual China Group
