Asian Markets Trade Mixed

(RTTNews) - Asian stock markets are trading mixed on Monday, following the mixed cues from global markets on Friday, amid growing optimism that the U.S. economy is headed for a soft landing after upbeat US retail sales data and improving US consumer sentiment, which also increased confidence the US Fed will start cutting interest rates next month, but less aggressively. Asian markets closed mostly higher on Friday.

Comments from Atlanta Fed President Raphael Bostic and Chicago Fed President Goolsbee have also bolstered market expectations that the central bank will begin cutting rates in September.

The Australian stock market is slightly higher is choppy trading on Monday, extending the gains the previous six sessions, following the broadly positive cues from Wall Street on Friday. The benchmark S&P/ASX 200 index is staying below the 8,000.00 mark, with gains in gold miners amid spiking yellow metal prices, partially offset by weakness in iron ore miners amid tumbling iron ore prices. Traders also booked some profits after the recent rally.

The benchmark S&P/ASX 200 Index is losing 6.20 points or 0.08 percent to 7,964.90, after hitting a low of 7,950.60 earlier. The broader All Ordinaries Index is down 9.50 points or 0.12 percent to 8,180.40. Australian stocks closed sharply higher on Friday.

Among the major miners, Rio Tinto and Fortescue Metals are losing almost 1 percent each, while BHP Group is edging down 0.2 percent and Mineral Resources is declining almost 2 percent. Oil stocks are mixed. Beach energy is losing almost 1 percent and Santos is edging down 0.5 percent, while Woodside Energy is gaining almost 1 percent and Origin Energy is adding more than 1 percent.

Among tech stocks, Afterpay owner Block and Xero are gaining almost 1 percent each, while Zip is adding more than 1 percent. Appen is losing more than 2 percent and WiseTech Global is down almost 1 percent.

Gold miners are mostly higher. Newmont and Northern Star Resources are adding more than 1 percent each, while Evolution Mining is gaining more than 2 percent, Resolute Mining is surging almost 8 percent and Gold Road Resources is advancing almost 2 percent.

Among the big four banks, Commonwealth Bank is edging down 0.2 percent, while National Australia Bank is gaining almost 1 percent and Westpac is advancing almost 2 percent. ANZ Banking is flat.

In other news, share in A2 Milk tumbled more than 16 percent after the dairy company forecast mid-single-digit revenue growth in FY25 and warned that growth would be impacted by infant formula milk supply constraints. It said trading conditions in China remained challenging and a further decline in market value in FY25 is expected.

In the currency market, the Aussie dollar is trading at $0.668 on Monday.

The Japanese stock market is trading modestly lower on Monday, snapping a five-session winning streak. The benchmark S&P/ASX 200 is falling below the 38,000 mark, despite the broadly positive cues from Wall Street on Friday, as traders booked some profits after the recent extended rally.

The benchmark Nikkei 225 Index closed the morning session at 38,047.17, down 15.50 or 0.04 percent, after hitting a low of 37,683.63 earlier. Japanese shares ended sharply higher on Friday.

Market heavyweight SoftBank Group is gaining more than 1 percent, while Uniqlo operator Fast Retailing is edging down 0.5 percent. Among automakers, Honda is adding almost 1 percent, while Toyota is declining almost 1 percent.

In the tech space, Screen Holdings is gaining almost 2 percent, while Tokyo Electron and Advantest are losing almost 1 percent each.

In the banking sector, Sumitomo Mitsui Financial is gaining more than 3 percent, Mitsubishi UFJ Financial is adding almost 1 percent and Mizuho Financial is edging up 0.1 percent.

The major exporters are mostly higher. Canon and Panasonic are gaining almost 1 percent each, while Sony is edging up 0.1 percent. Mitsubishi Electric is losing more than 1 percent.

Among other major losers, Mercari is losing more than 3 percent, while Ebara, Komatsu and Recruit Holdings are declining almost 3 percent each.

Conversely, Sumitomo Pharma is soaring more than 9 percent and M3 is gaining more than 4 percent, while GS Yuasa and Lasertec are adding more than 3 percent each. Aozora Bank and Nippon Yusen K.K. are advancing almost 3 percent each.

In the currency market, the U.S. dollar is trading in the higher 147 yen-range on Monday.

Elsewhere in Asia, Hong Kong is up 1.3 percent, while China, Malaysia and Taiwan are higher by between 0.3 and 0.6 percent each. New Zealand, Singapore and South Korea are lower by between 0.1 and 0.9 percent each. Indonesia is relatively flat.

On Wall Street, stock moved mostly higher over the course of the trading day on Friday after showing a lack of direction early in the session. The major averages climbed more firmly into positive territory after bouncing back and forth across the unchanged line in early trading.

The major averages pulled back off their best levels late in the day but still closed modestly higher. The Dow climbed 96.70 points or 0.2 percent to 40,659.76, the Nasdaq rose 37.22 points or 0.2 percent to 17,631.72 and the S&P 500 edged up 11.03 points or 0.2 percent to 5,554.25.

Meanwhile, the major European markets turned in a mixed performance on the day. While the U.K.'s FTSE 100 Index fell by 0.4 percent, the French CAC 40 Index climbed by 0.4 percent and the German DAX Index advanced by 0.8 percent.

Crude oil prices fell sharply on Friday, with traders assessing the situation in the Middle East and the outlook for oil demand from China in the wake of recent weak data from the world's second largest economy. West Texas Intermediate Crude oil futures for September ended down by $1.51 or about 1.9 percent at $76.65 a barrel.