Asian markets are wary of Sino-US trade talks

BANGKOK (AP) – Asian equities fell on Monday after cautious gains, as impending trade talks between Washington and Beijing displaced aid after the US government's partial closure was over.

KEEP THE SCORE: The Japanese Nikkei 225 stock index fell 0.6% to 20,649.00. The Hang Seng Hong Kong index remained unchanged at 27,562.20 and the Shanghai Composite Index edged down 0.1% at 2,597.25. Kospi in South Korea rose slightly by 0.1% to 2,181.08 while Senbad in India plunged 0.9% to 35,702.51. Markets in Taiwan and Southeast Asia were generally higher. Australian markets were closed for a holiday.

TRADE MEETINGS: Discussions to resolve stalemate on Chinese technology ambitions and other issues are expected to resume in Washington later in the week under the leadership of US Trade Representative Robert Lighthizer and vice -Prime Chinese Premier Liu He. According to badysts, steps could be taken to reduce China's mbadive trade surplus with the United States, which could help prevent further increases in punitive tariffs imposed by both parties. However, they expect gaps to persist regarding key issues such as China's state-led development plan for advanced technologies.

US GOVERNMENT REOPEN: US markets reacted moderately Friday to the announcement of an agreement between Trump and congressional leaders to reopen the federal government for three weeks. with Mexico. Trump announced the signing of an agreement to break the 35-day stalemate, airport delays and widespread disruptions that have heightened the urgency of ending partial closure. However, uncertainty persists since Trump almost immediately threatened another stop or a new emergency action if he did not enjoy a "fair deal". ".

ANALYST'S POINT OF VIEW: "The reopening of the US government is therefore a relief, but the biggest challenge ahead is to prevent a new closure on February 15 and, to this end, the progress of the talks between Republicans and Democrats over the next three years – weeks is critical, "said Mizuho Bank in a comment. "While the two parties to a border security agreement remain open to the fore, it is the US-China trade negotiations (Wednesday-Thursday) that will be in the spotlight."

JAPAN-ECONOMY: Stocks dropped in Tokyo as a result of the parliament's summons and Prime Minister Shinzo Abe presented plans to deal with adverse factors such as an expected sales tax increase in October and longer-term demographic trends. The Minister of Finance, Taro Aso, is committed to using "all the political tools at our disposal" in the search for support for a budget comprising 2 trillion yen ($ 18 billion) of stimulus measures to counter the increase in the sales tax to 10% from the current budget. 8 percent.

WALL STREET: Shares closed higher on Friday, recovering some of their losses earlier in the week. Technology and industrial firms jumped as companies continued to post solid results for the fourth quarter. The S & P 500 index rose 0.85% to 2,664.76, but fell 0.2% for the week after the significant gains of the previous four years. The Dow Jones Industrial Average added 0.7% to 24,737.20. The Nasdaq composite rose 1.3% to 7,164.86, while the Russell 2000 stock index of smaller companies also rose 1.3% to 1,482.85.

ENERGY: US crude oil lost 62 cents to 53.07 dollars a barrel in electronic trading on the New York Mercantile Exchange. It rose 1.1% to $ 53.69 a barrel on Friday. Brent, used for the price of international oil, yielded 62 cents to 61.02 dollars per barrel. He had gained 0.9% Friday at 61.64 dollars a barrel.

CURRENCIES: The dollar was trading at 109.32 yen, down from 109.55 yen on Friday. The euro has strengthened from 1.1409 USD to 1.1411 USD.