Asia-Pacific markets traded mixed on Monday, with South Korean equities leading regional declines after United States forces struck two Iranian rocket launchers on Larak Island on Sunday, raising concerns over a further escalation in the Middle East.
By 11:50 am AEST (1:50 am GMT), Australia's S&P/ASX 200 was trading 0.3% higher, while Japan's Nikkei 225 fell 1.8% and South Korea's KOSPI 200 declined 2.3%.
Among economic data releases, South Korean industrial production was unchanged in July from the previous month, according to data from the Ministry of Data and Statistics.
Manufacturing production increased 0.2% month-on-month and 3.9% year-on-year.
Retail sales, a gauge of private spending, fell 2.4% during the month, driven mainly by a decline in durable goods purchases, including cars, amid elevated consumer prices.
In Japan, industrial production rose 0.1% month-on-month in July, government data showed on Monday. The result was stronger than expectations for a 0.7% decline, although growth slowed sharply from a 1.9% increase in June.
Output continued to expand after robust growth in June, supported mainly by export demand for automobiles, electronic components and semiconductors.
Retail sales increased 4% year-on-year in July, exceeding expectations for a 3% rise and accelerating sharply from the 0.6% increase recorded in June.
Steady wage growth and continued government subsidies on utilities helped support domestic spending despite persistent inflationary pressures.
Meanwhile, China's manufacturing activity contracted for a second consecutive month in August, although the decline was smaller than expected, adding to pressure on Beijing to provide further economic support as growth loses momentum.
The official purchasing managers' index rose to 49.8 from 49.2 in July, according to National Bureau of Statistics data released on Monday. The reading was slightly above the 49.7 forecast. A reading below 50 indicates contraction.
In the U.S. on Friday, major benchmarks finished slightly lower. The Dow Jones Industrial Average eased 0.02%, the S&P 500 lost 0.3% and the Nasdaq Composite dipped 0.5%.
In commodities, ICE Brent crude finished 0.5% lower on Friday at US$88.10 a barrel, while spot gold fell 3.1% to US$4,445.77 an ounce.
In China on Friday, the Shanghai Composite Index eased 0.1% to 3,952.2, while the CSI 300 declined 0.5% to 4,609.2.
Hong Kong's Hang Seng Index ticked up 0.1% to 25,584.8, while India's BSE Sensex gained 0.4% to 77,264.5.
European markets finished higher on Friday. The UK's FTSE 100 added 0.3% to 10,824.3, Germany's DAX gained 0.8% to a record close of 26,570.0, and France's CAC 40 advanced 1% to 8,401.2.
