By Ese Erheriene
Most Asia Pacific stock indexes logged declines Monday, with Japanese stocks again underperforming after their gains of the past two months.
After logging its biggest drop percentage-wise in two months Friday, the Nikkei Stock Average /zigman2/quotes/210597971/delayed JP:NIK +0.40% fell 1.3%. That’s the worst percentage loss since April 6, according to FactSet data.
The benchmark had surged 21% from early September through last week before the rally paused Thursday.
Given the large rally recently and with the release of third-quarter economic growth figures due Wednesday, recent price action is “just profit-taking,” said Tareck Horchani, global head of sales trading at Saxo Capital Markets.
Stock sentiment globally darkened last week amid fresh concerns about U.S. tax reforms as competing Republican proposals have emerged.
Monday’s decline in Japan came despite a pullback in the yen. The dollar /zigman2/quotes/210561789/realtime/sampled USDJPY -0.2101% was recently around ¥113.70, versus ¥113.47 when the local stock market closed last week. Earnings, which had been supporting the market, also clouded sentiment, with real-estate developer Mitsui Fudosan /zigman2/quotes/205394574/delayed JP:8801 +1.88% down 4.1% and fiber maker Toray /zigman2/quotes/203760457/delayed JP:3402 -1.32% off by 3.9%.
But technology stocks helped Hong Kong’s benchmark stock index. Tencent /zigman2/quotes/204605823/delayed HK:700 -0.51% rose 0.6% and Apple supplier AAC /zigman2/quotes/201441510/delayed HK:2018 +2.72% jumped another 5.8% to a sixth-straight intraday record high, helping the Hang Seng Index /zigman2/quotes/210598030/delayed HK:HSI +0.28% rise 0.2%.
Meanwhile, e-gaming-services provider Razer /zigman2/quotes/203466833/delayed HK:1337 -0.74% popped as much as 41% in its market debut Monday, and finished up by 18%.
Chinese and Southeast Asian stock indexes also rose slightly, and New Zealand’s benchmark /zigman2/quotes/211587880/delayed NZ:NZ50GR +0.30% reversed losses and ended fractionally higher at 7,976.43. Dairy companies a2 Milk /zigman2/quotes/207461975/delayed NZ:ATM -0.34% and Synlait /zigman2/quotes/200859627/delayed NZ:SML -0.36% climbed 3.9% and 1.5%, respectively, after sharp declines last week.
In Asia, Trump delivers message of economic nationalism
President Donald Trump says the U.S. had been treated unfairly by global trade practices and that he wouldn't allow the country to be "taken advantage of anymore," in his address at the Asia Pacific Economic Cooperation summit in Da Nang, Vietnam. Photo: Reuters