Asian Markets Mostly Higher

(RTTNews) - Asian stock markets are trading mostly higher on Wednesday, despite the broadly negative cues from global markets overnight, with traders hopeful a deal is reached on the U.S. debt ceiling as US President Joe Biden meets with top congressional leaders. US Treasury Secretary Janet Yellen has said a recession would be likely if the US defaulted on its debt. Asian markets closed mixed on Tuesday.

The Australian stock market is notably lower on Wednesday, extending the losses in the previous session, with the benchmark S&P/ASX 200 staying below the 7,200 level, following the broadly negative cues from global markets overnight, with weakness across most sectors, led by materials and financial stocks.

The benchmark S&P/ASX 200 Index is losing 36.80 points or 0.51 percent to 7,197.90, after hitting a low of 7,159.80 earlier. The broader All Ordinaries Index is down 34.90 points or 0.47 percent to 7,389.20. Australian stocks ended notably lower on Tuesday.

Among major miners, BHP Group and Fortescue Metals are losing more than 1 percent each, while Rio Tinto is down almost 1 percent and Mineral Resources is declining almost 2 percent. Oil stocks are mixed. Beach energy and Origin Energy are edging up 0.2 percent each, while Santos is losing more than 1 percent and Woodside Energy is edging down 0.4 percent.

In the tech space, Appen is plunging more than 9 percent, Afterpay owner Block is losing more than 1 percent and Zip is declining almost 2 percent, while WiseTech Global is gaining more than 1 percent and Xero is adding almost 2 percent.

Among the big four banks, National Australia Bank is losing almost 1 percent, while Commonwealth Bank, Westpac and ANZ Banking are down more than 1 percent each.

Among gold miners, Resolute Mining is losing almost 3 percent, Newcrest Mining is slipping more than 2 percent and Northern Star Resources is down more than 1 percent, while Evolution Mining and Gold Road Resources are declining almost 2 percent each.

In other news, shares in James Hardie are up almost 2 percent after the building products company reported a full-year profit that topped expectations.

In economic news, the wage price index in Australia was up a seasonally adjusted 0.8 percent on quarter in the first quarter of 2023, the Australian Bureau of Statistics said on Wednesday. That was shy of expectations for an increase of 0.9 percent but was unchanged from the previous three months. On a yearly basis, the index rose 3.7 percent - beating expectations for 3.6 percent and accelerating from 3.4 percent in the three months prior.

In the currency market, the Aussie dollar is trading at $0.666 on Wednesday.

The Japanese stock market is significantly higher on Wednesday, extending the gains in the previous four sessions, with the Nikkei 225 breaching the 30,000 mark for the first time since September 2021, despite the broadly negative cues from global markets overnight, with gains across most sectors after data showed Japan's economy expanding more than expected in the first quarter.

The benchmark Nikkei 225 Index closed the morning session at 30,039.41, up 196.42 points or 0.66 percent, after touching a high of 30,060.72 earlier. Japanese stocks ended notably higher on Tuesday.

Market heavyweight SoftBank Group is gaining almost 4 percent and Uniqlo operator Fast Retailing is adding almost 2 percent. Among automakers, Honda is gaining more than 1 percent and Toyota is edging up 0.4 percent.

In the tech space, Screen Holdings and Tokyo Electron are gaining almost 3 percent each, while Advantest is adding almost 2 percent.

In the banking sector, Sumitomo Mitsui Financial is edging down 0.3 percent, while Mizuho Financial is edging up 0.5 percent and Mitsubishi UFJ Financial is gaining more than 2 percent.

Among the major exporters, Sony and Panasonic are gaining almost 1 percent each, while Canon is edging up 0.3 percent. Mitsubishi Electric is flat.

Among other major gainers, CyberAgent and T&D Holdings are gaining almost 3 percent each.

Conversely, Sumitomo Pharma and Tokai Carbon are losing more than 3 percent each, while Sumitomo Chemical is down almost 3 percent.

In economic news, Japan's gross domestic product expanded a seasonally adjusted 0.4 percent on quarter in the first quarter of 2012, the Cabinet Office said in Wednesday's preliminary reading. That beat expectations for a gain of 0.1 percent following the flat reading in the three months prior.

On an annualized basis, GDP jumped 1,6 percent - again topping forecasts for an increase of 0.7 percent following the downwardly 0.1 percent contraction in the previous three months (originally +0.1 percent).

In the currency market, the U.S. dollar is trading in the lower 136 yen-range on Wednesday.

Elsewhere in Asia, Taiwan is up 1.1 percent, while, South Korea, and Malaysia and Indonesia are higher by between 0.2 and 0.6 percent each. Singapore is down 0.9 percent, New Zealand, China and Hong Kong are relatively flat.

On Wall Street, stocks moved mostly lower over the course of the trading day on Tuesday, giving back ground after ending Monday's session mostly higher. The major averages all moved to the downside, with the Dow showing a particularly steep drop.

The Dow and the S&P 500 fell to new lows for the session going into the close of trading. The Dow slumped 336.46 points or 1.0 percent to 33,012.14, the S&P 500 slid 26.38 points or 0.6 percent to 4,109.90 and the Nasdaq dipped 22.16 points or 0.2 percent to 12,343.05.

The major European markets also moved to the downside on the day. While the U.K.'s FTSE 100 Index fell by 0.3 percent, the French CAC 40 Index dipped by 0.2 percent and the German DAX Index edged down by 0.1 percent.

Crude oil prices drifted lower Tuesday amid concerns about the outlook for energy demand following disappointing Chinese data. West Texas Intermediate Crude oil futures for June ended lower by $0.25 or 0.4 percent at $70.86 a barrel.