Aug 04 ,2026
Synopsis:
Asia markets ended mostly higher Wednesday. Topix and Nikkei pared early losses to close higher, strong gains for Shenzhen while Shanghai's main boards inched higher. Australia and South Korea both posted solid gains. Taiwan slightly lower, India also lower and the Hang Seng the regional laggard. US futures higher, Europe opened with solid gains. US dollar DXY index hovering around 100, AUD stronger, yen weaker. Treasuries unchanged, JGBs mixed. Crude oil higher with Brent at $85/bl. Precious and industrial metals also rallying as copper nears record highs. Cryptocurrencies higher.
Asia equities turned positive Wednesday following a rally on Wall Street overnight, with futures indicating the S&P 500 will reach another record high today. Asia lagged at first as South Korea's Kospi volatility continued with an opening loss, but this turned into a solid gain by the close as memory stocks re-found their footing, and came as authorities announced further restrictions on single-stock leveraged ETFs. Traders largely brushed off higher crude prices that came as Iran denied it had begun talks with the US although admitted negotiations with Oman over Strait of Hormuz transits were continuing.
In other developments, South Korea July headline CPI declined to a three-month low on the drop in crude while authorities are said to be considering increasing a tax on wealthy homeowners to stabilize property prices. Australia household spending growth remained strong although it slipped to the slowest acceleration since February. Key catalysts still ahead including SpaceX results today and US non-farm payrolls Friday.
Sources cited by Reuters said CXMT (688825.CH ) is planning a second chip-making plant in Beijing, and is already in talks over funding. NTT Data Group (05HWC7-E) says it will spend at least $9B through to 2033 to quadruple computing capacity in Japan. Qantas (QAN.AU ) is to exit its Jetstar Japan stake and is considering a major outsourcing move with Accenture-backed AI venture that could lead to 1K in job losses, according to AFR. Grab (GRAB) raised its FY26 forecasts on strong riding-hailing and delivery demand. Londian Wason New Energy Tech (FOIL) is eying a $1.7B valuation in its US IPO in what will be China's biggest listing in New York in more than a year.
Digest:
Notable Gainers:
+14.3% 047040.KS (Daewoo Engineering & Construction): reports Q2 revenue and operating profit ahead of FactSet estimates
+11.2% 2359.HK (WuXi AppTec): guides FY revenue CNY58.50-60.50B vs prior guidance CNY51.30-53.00B and FactSet CNY53.49B
+4.4% 9104.JP (Mitsui O.S.K. Lines): raises H1 and FY guidance
+3.1% 4689.JP (LY Corp.): reports Q1 revenue and adjusted EBITDA ahead of StreetAccount estimates
Notable Decliners:
-8.4% 2282.JP (NH Foods): reports Q1 net income below FactSet estimates
-6.1% 9064.JP (Yamato Holdings): reports Q1 results; volumes at corporate segment weak
-4.5% 1359.HK (China Cinda Asset Management): guides H1 net income attributable to decrease by (60-70%) y/y
-4.1% 3711.TT (ASE Technology Holding): $1B (NT$32.41B) 0% 5-year convertible bonds priced at NT$927.20/share
-1.5% 7203.JP (Toyota Motor): reports Q1 earnings; operating income misses StreetAccount estimates
-0.1% 005380.KS (Hyundai Motor): reports July global sales 318,454 units vs year-ago 335,481 units
Data:
Economic:
Australia
June household spending +0.8% m/m vs consensus +0.2% and revised +1.2% in May
Household spending +6.0% y/y vs consensus +5.3% and +5.5% in May
July ANZ-Indeed job advertisements +0.8% m/m vs revised (0.1%) in June
South Korea July
CPI +2.8% y/y vs consensus +3.0% and +3.2% in prior month
CPI ex-food & energy +2.6% vs +2.5% in prior month
Markets:
Nikkei: 202.63 or +0.32% to 63957.53
Hang Seng: (156.48) or (0.60%) to 25852.92
Shanghai Composite: 12.62 or +0.33% to 3822.28
Shenzhen Composite: 66.08 or +2.73% to 2486.10
ASX200: 126.50 or +1.40% to 9145.80
KOSPI: 101.50 or +1.62% to 6358.95
SENSEX: (269.57) or (0.34%) to 78369.46
Currencies:
$-¥: +0.63 or +0.40% to 157.8030
$-KRW: +2.09 or +0.15% to 1431.5200
A$-$: +0.00 or +0.29% to 0.7020
$-INR: +0.02 or +0.02% to 95.3553
$-CNY: (0.00) or (0.01%) to 6.7518
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