Asian Shares Mixed; Chinese And Hong Kong Lead Losses

(RTTNews) - Asian stocks ended Monday's session on a mixed note as concerns over China's faltering economy offset dovish BOJ bets.

The U.S. dollar index fell slightly and yields on U.S. 10-year Treasury notes dropped fell from recent highs as investors braced for a slew of major central bank meetings including the Bank of Japan, the European Central Bank and the Bank of Canada.

Gold and oil prices were down modestly in Asian trade amid much uncertainty about when U.S. rate cuts might commence.

Chinese stocks fell to multi-year lows as the People's Bank of China kept benchmark lending rates unchanged at a monthly fixing.

The benchmark Shanghai Composite index tumbled 2.68 percent to 2,756.34, marking its lowest since April 2020. Hong Kong's Hang Seng index slumped 2.27 percent to 14,961.18.

Japanese shares rallied as the Bank of Japan started a two-day policy meeting, with no change to rates expected.

The Nikkei average soared 1.62 percent to 36,546.95, reaching its highest level in 33 years and 11 months amid gains in semiconductor-related stocks. The broader Topix index settled 1.39 percent higher at 2,544.92.

Advantest, Screen Holdings and Advantest surged 2-5 percent on hopes that a return to growth is on cards for the semiconductor sector.

Seoul stocks ended slightly lower as investors awaited cues from the latest earnings season and gross domestic product figures for the fourth quarter of 2023 due on Wednesday.

The Kospi average dipped 0.34 percent to 2,464.35. LG Chem and SK Innovation lost 4-5 percent.

Australian markets rose notably, led by financials and technology stocks. Mining and energy stocks slipped on concerns over demand in China.

The benchmark S&P/ASX 200 climbed 0.75 percent to 7,476.60 while the broader All Ordinaries index closed 0.65 percent higher at 7,702.30.

Shares of Liontown Resources fell 21.3 percent on news the lithium miner is scrapping its Kathleen Valley expansion.

Rare-earths miner Lynas Rare Earths dropped 1.3 percent after its Q2 revenue halved on falling prices.

Across the Tasman Sea, New Zealand's benchmark S&P/NZX 50 index rose 0.16 percent to 11,684.95.

U.S. stocks rose sharply to return to record heights on Friday, reflecting continued strength among tech stocks as new data showed a significant improvement in U.S. consumer sentiment and continued decreases in both year-ahead and long-run inflation expectations.

The Dow and the S&P 500 climbed 1.1 percent and 1.2 percent, respectively to set new record closing highs, while the tech-heavy Nasdaq jumped 1.7 percent to reach its best closing level in two years.