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StreetAccount Summary - Asian Market Recap: Nikkei +0.06%, Hang Seng (0.65%), Shanghai Composite (0.16%) as of 04:10 ET

Jun 11 ,2026

• Synopsis:

  • Asia equities ended mostly lower Thursday but most were well off their troughs by the close and a handful ended positive. South Korea's Kospi, Taiwan's Taiex and the Nikkei 225 all rallied as their semiconductor stocks gained, India is trading a little higher, while Singapore and Thailand also stayed positive on local catalysts. On the downside, Greater China benchmarks all fell, Australia closed lower despite a rally, and Indonesia lost some of yesterday's gains. US futures higher, Europe opened with small gains. US dollar unchanged for third consecutive day, won weaker but other currencies quiet. Treasury yields higher across tenors, JGBs mixed. Crude oil higher but Brent still below $94/bl. Industrial metals mixed as iron ore climbs but copper is approaching a month-long low. Precious metals under pressure but away from their troughs. Cryptocurrencies higher.

  • Asia equities closed mostly lower Thursday although several technology stocks found a base to send the Nikkei 225 and Kospi higher, and for the Taiex to outperform versus the regional index. Most benchmarks opened in the red to follow the declines on Wall Street overnight but as futures turned positive, some of the more beaten-up stocks of late found buyers. Crude oil edged higher to weigh first thing after the US launched a fresh wave of attacks against Iran, pushing any permanent ceasefire further away, however energy prices not responding as strongly as before as the physical oil market appears to have stabilized for now, according to a Bloomberg report.

  • Few regional developments today to dislodge the overarching narrative. China-based e-commerce stocks underperformed after Beijing summoned executives from several large firms including Alibaba and JD.com and reprimanded them over misleading sales promotions. BOJ Governor Ueda is set to miss the bank's rate-setting meeting next week due to medical treatment but his absence is not expected to alter expectations for a 25 bps hike.

  • BYD (1211.HK) is considering taking over factory operations of a second Europe-based EV plant possibly in Spain, according to an executive. Alibaba (9988.HK), JD.com (9618.HK), PDD Holdings (PDD) among the China-based e-commerce names reprimanded by Beijing over misleading sales claims in a mid-year shopping festival. Ant Group's (+ANT) international business is considering raising $1B from existing shareholders ahead of listing, according to a Bloomberg report. SK Hynix (000660.KS) is to triple wafer capacity by 2034 to meet surging demand for memory chips. The South Korea privacy watchdog has fined Coupang (COUP) a record KRW 624.7B over major data leak and unauthorized data collection.

• Digest:

  • US launches fresh strikes against Iran, Trump warns bombing will restart unless Tehran signs deal:

    • US launched another wave strikes against Iran, targeting air defense systems, radars and drone command and control units (Bloomberg, Axios). Comes after President Trump accused Tehran of stringing US along in negotiations. Crude gave back some of its earlier gains after CENTCOM declared strikes complete. Trump had flagged an end to bombing after claiming Iran asked him to stop.

    • Iran responded by targeting US bases in Kuwait and Bahrain. IRGC declared Strait of Hormuz fully closed though CENTCOM rejected that claim. Earlier, Trump said he directed US military to execute secret mission to support tankers and ships through Strait of Hormuz, claiming effort brought 100M barrels of oil to open market. Follows recent reports about US assisting ships on Omani side of the Strait with transponders turned off to avoid detection.

    • Officials said Trump was considering operation big in scale, but short in duration with aim of pressuring Iran in negotiations. While strikes ended, Trump warned bombing will resume if Iran doesn't sign agreement. Senior official told Axios Qatari mediators held talks with Iran on Wednesday in bid to get talks back on track, though Tehran has shown less willingness to resume diplomacy following recent escalation.

    • Media sources further noted US military pressure will continue to increase until Iran agrees to Trump's demands. Nuclear holding up talks with Trump wanting tougher deal than that signed by former President Obama in 2015 and is demanding Iran destroy or dilute its stockpiles of enriched uranium. Sequencing another sticking point with Iran conditioning nuclear talks on easing sanctions and unfreezing assets, while US wants firmer commitments from Iran first.

  • BOJ Deputy Governor Uchida steps into the spotlight in Ueda's absence:

    • Adding more color to the situation surrounding next week's BOJ meeting, Nikkei highlighted the importance of Deputy Governor Uchida who will hold the post-MPM press conference, charged with the task of explaining the MPM decision to the markets. Multiple sources affirmed Ueda's absence does not change expectations for a rate hike. In the event the vote count is split 4-4, Deputy Governor Himino will make the final call.

    • While Ueda's hospitalization came as a surprise, the article headed off speculation that this gives rise to the possibility of a leadership change given Ueda is due to return to duty by the next MPM in July. Yet, the tone still framed this meeting as a test for Uchida's capabilities. He is seen internally as the key influential figure having been involved with the Kuroda-era push for unconventional easing.

    • Story noted Uchida himself was admitted to hospital in November last year, continued his duties remotely, and was only discharged on 26-May. The upcoming press conference will be Uchida's first public appearance since. BOJ sources indicated Uchida effectively took the lead in internal discussions since being hospitalized. He is seen to wield a similar level of credibility as Ueda.

    • Uchida's substitution comes at a crucial juncture. Article quoted a MOF official recognizing that a June rate hike has already been factored into the FX market and signals for the next move is key. Yen weakness after Ueda's perceived restraint after the previous hike in December last year is still a fresh memory and selling pressure only kept in check by intervention risk. Story underscored that a repeat of cautious rhetoric (from Uchida) stands to have a similar result.

  • BOJ Governor Ueda expected to miss next week's policy meeting, not seen affecting the outcome:

    • Press reported a BOJ announcement that Governor Ueda was admitted to hospital Wednesday for treatment of a hepatic cyst infection, expected to last about two weeks (Nikkei, Bloomberg). As such, Ueda is expected to miss next week's policy meeting, which means MPC votes will be reduced to eight. While absentees do not get a vote, Ueda will submit a written statement to the MPC to convey his views. He is expected to return to duty by the following MPM on July 30-31. This will be the first time that a sitting governor misses a regular meeting -- the last time something similar happened was when Shirakawa could not attend an extraordinary MPM in May 2010 because he was overseas. Ueda's absence is seen unlikely to affect a widely expected decision to raise the policy rate as several other board members have expressed or signaled the need for a hike since the last meeting. Recall that Ueda was not among the three dissenters in April who called for a rate hike and this camp was joined in later speeches by Masu and Koeda. Ueda's hawkish conviction in his own speech last week was seen as a clear signal, suggesting the groundwork for a hike has already been laid.

  • Japan MOF business confidence gauge turns negative:

    • MOF BSI for large manufacturers was -1.8 in Q2, following +3.8 in the previous quarter, marking the first negative reading in a year. Signal value discounted by clear signs of seasonality that typically sees softer readings in the quarter. More widely watched BOJ Tankan large manufacturers business conditions DI has improved steadily for the fifth straight quarter through March.

    • More meaningful potential clues in FY26 business projections. Current profits were downgraded to -2.4% from -1.0% reflecting softer trajectory from both manufacturers and nonmanufacturers (latter turning negative from a slight increase). Manufacturing growth led by pulp & paper and textiles, while main drags were nonferrous metals and other transportation equipment. For nonmanufacturers, growth led by financials and retail, drags were logistics/postal services and construction. Yet, revenues were upgraded to +3.3% from +2.2%. Capex revised up notably to +8.2% from +3.5%. However, rate of improvement likely also seasonal as BOJ Tankan capex projections almost always sees the sharpest upgrades in Q2 before consolidating for the rest of the year.

    • MOF survey's main value add comes from qualitative questions not covered in the Tankan. Large firms clearly prioritizing investment in maintenance/upgrades, well ahead of energy efficiency and production capacity expansion. Amid renewed attention on cash flow management, large and medium-sized firms drawing most financing from internal reserves, followed by financial institutions (debt). Distant third, though still notable, was asset sales.

  • Global investors set for passive exposure to SpaceX via index inclusion, though limited by low free float:

    • Nikkei discussed the looming inclusion of SpaceX (+SPCX) in major stock benchmarks which will in turn permeate to ETFs, thereby set to passively expose global retail investors. With the upcoming highly anticipated IPO to be the largest in history, this has increased attention on whether index vendors will show preferential treatment in an apparent race to incorporate the stock. SpaceX reportedly considered early inclusion as one of the criteria for selecting bourses and there are some thoughts Nasdaq was competing with NYSE.

    • So far, timeframes vary widely among the major benchmarks. Shortest turnaround is FTSE Russell, which revised its guidelines in late May to allow inclusion of large IPOs after five business days of listing. Nasdaq made no changes since its last revision announced in May, allowing for the inclusion after 15 sessions. MSCI has a fast-track provision allowing inclusion of large IPOs to the ACWI outside of the usual quarterly review cycle. If certain conditions are met, SpaceX could be included after ten business days. Longest window is S&P Dow Jones, which will retain its 12-month screening process for inclusion into the S&P 500 (deferring a decision to shorten the window to six months).

    • Once inclusion has been confirmed, article highlighted the next focus will be weighting. Despite an expected $1.75T market cap, the proportion of free-floated shares will be limited to only around 7% -- a stark contrast to the 80%+ typical of index constituents. This augurs for low index weightings. Nasdaq eliminated a minimum 10% free float to qualify and introduced a rule to assess weighting based on a size of up to three times the free floated market cap. Cited Barron's calculations pointing to only 0.6~0.7%. Yet, exposure will still permeate through an array of passive funds, citing Intropic calculations that passive investors will hold some 30% of floated shares 15 sessions after listing.

  • Notable Gainers:

    • +9.2% 002030.KS (ASIA Holdings): to launch KRW8.00B buyback, to run from 10-Jun through 9-Dec

    • +3.0% 035720.KS (Kakao): plans additional strike on 29-Jun

    • +2.6% 000660.KS (SK Hynix): to triple wafer capacity by 2034 to meet surging demand for its memory chips

    • +1.9% 300015.CH (Aier Eye Hospital Group): acquires controlling interest in Brazilo ophthalmic medical business for BRL540M (CNY706.9M)

    • +1.1% 9432.JP (NTT, Inc.): a $500M fund led by NTT aims to chase Nvidia in the field of optical networks

    • +0.8% 3045.TT (Taiwan Mobile): reports May revenue NT$16.44B, +3.9% y/y

    • +0.8% 3543.JP (KOMEDA Holdings): reports May existing stores wholesale sales +6.2% y/y

    • +0.1% 3382.JP (Seven & I Holdings): reports May Seven-Eleven Japan same-store sales +2.7% y/y

  • Notable Decliners:

    • -2.2% 6762.JP (TDK): enters definitive agreement to acquire Fabric8Labs

• Data:

  • Economic:

    • Japan Q2

      • MOF BSI large manufacturing index (1.8) vs 3.8 in prior quarter

        • Large non-manufacturing index 0.0 vs 4.6 in prior quarter

        • Large all-industry index (0.5) vs 4.4 in prior quarter

    • South Korea May

      • Unemployment rate 2.8% versus consensus 2.7% and 2.8% in prior month

  • Markets:

    • Nikkei: 38.00 or +0.06% to 64217.27

    • Hang Seng: (158.67) or (0.65%) to 24249.29

    • Shanghai Composite: (6.21) or (0.16%) to 3987.01

    • Shenzhen Composite: (17.74) or (0.66%) to 2670.73

    • ASX200: (20.10) or (0.23%) to 8633.20

    • KOSPI: 33.13 or +0.43% to 7763.95

    • SENSEX: 117.90 or +0.16% to 74101.08

  • Currencies:

    • $-¥: (0.05) or (0.03%) to 160.5060

    • $-KRW: +5.30 or +0.35% to 1528.5900

    • A$-$: (0.00) or (0.04%) to 0.6996

    • $-INR: +0.24 or +0.25% to 95.7141

    • $-CNY: +0.00 or +0.00% to 6.7749