Asia-Pacific indices traded in negative territory on Thursday as markets reopened following the New Year’s Day holiday.
By 11:45 am AEDT (12:45 am GMT), Australia’s ASX 200 dipped 0.1%, while South Korea’s KOSPI 200 slipped 0.2%. Japanese markets remained closed for a public holiday.
The latest data releases added to the cautious sentiment. S&P Global’s Australian manufacturing PMI revealed a contraction for the 11th consecutive month, falling to 47.8 in December, below expectations of 48.2.
Traders also digested Singapore’s preliminary gross domestic product (GDP) figures, which showed a year-on-year expansion of 4.3% in the fourth quarter of 2024. However, this marked a slowdown from the 5.4% growth recorded in the previous quarter.
On Wall Street, U.S. markets closed lower on Tuesday. The Dow Jones Industrial Average slipped 0.1%, the S&P 500 declined 0.4%, and the Nasdaq Composite shed 0.9%.
Commodities saw modest movements. Spot gold rose 0.7% to US$2,624.26 per ounce, reflecting continued demand for safe-haven assets. Brent crude oil also ticked higher by 0.1% to US$74.81 per barrel.
China’s economic outlook remained in focus as markets awaited the December Caixin/S&P Global Manufacturing PMI. Analysts expect the reading to rise slightly to 51.7 from November’s 51.5, according to LSEG data. This private survey follows the official PMI, which disappointed on Tuesday with a reading of 50.1, barely in expansionary territory.
In China’s equity markets, the Shanghai Composite and CSI 300 fell by 1.6% apiece, while Hong Kong’s Hang Seng Index edged up 0.1% to close at 20,060.
European markets presented a mixed picture. The UK’s FTSE 100 gained 0.6%, while Germany’s DAX declined 0.4%. France’s CAC 40 rose 0.9%.