Asia stocks to start mixed with earnings in focus

Asia stocks to start mixed with earnings in focus

Futures indicate a small decline when equity trading begins in Hong Kong and Australia’s main index fluctuated at the open.

SYDNEY: Asian stocks were poised for a mixed start on Monday, following the best week for regional stocks since the start of November, as investors awaited a raft of earnings and trade data from China. The yuan held recent gains.

Futures indicated a small decline when equity trading begins in Hong Kong and Australia’s main index fluctuated at the open.

Japan is closed for a holiday, so Treasuries won’t trade until the London open.

US equity futures slipped after the S&P 500 on Friday closed flat and the yield on 10-year Treasuries declined.

Signs of progress in US-China trade talks and dovish commentary from Federal Reserve officials have buoyed a rally in global equities in January.

The next hurdle to clear will be a slew of US bank profit reports and an earnings season, amid worries global growth is slowing. Also weighing on sentiment is the partial US government shutdown that’s entered its fourth week.

Elsewhere, oil headed toward US$52 a barrel.

The pound was steady ahead of Tuesday’s crucial vote on Brexit, with Prime Minister Theresa May appearing no closer to getting the backing she needs.

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