Asian Shares Mostly Lower Ahead Of Trump-Putin Summit

(RTTNews) - Asian stocks ended mostly lower on Thursday as investors digested weak China bank lending data and awaited crucial U.S.-Russia talks on Ukraine.

U.S. President Donald Trump has threatened 'severe consequences' if Russian President Vladimir Putin refuses to half the war.

China's Shanghai Composite index dipped 0.46 percent to 3,666.44 after a key measure of lending at Chinese banks contracted for the first time in two decades in July.

Hong Kong's Hang Seng index hit a new 2025 high of 25,767 before reversing direction to end 0.37 percent lower at 25,519.32. Tencent Holdings rose about 1 percent after posting better-than-expected second-quarter earnings results.

Japanese markets pulled back from record highs as the yen extended gains for the third day in a row amid hawkish Bank of Japan expectations.

10-year government bonds ticked up after U.S. Treasury Secretary Scott Bessent told Bloomberg Television that the Bank of Japan is "behind the curve" in addressing inflation, suggesting that it will likely be raising interest rates.

The Nikkei average fell 1.45 percent to 42,649.26 while the broader Topix index settled 1.10 percent lower at 3,057.95.

Seoul stocks ended little changed as new data showed export prices dropped for a third month in July. The Kospi average finished marginally higher at 3,225.66 as gains in defense and cosmetics shares more than offset losses in semiconductors and pharmaceuticals.

Australian markets pared some early gains after hitting a new intraday record high for a fourth straight day as data showed Australian employment rebounded in July. The jobless rate ticked lower and employment rose, signalling the labour market remains tight.

The benchmark S&P/ASX 200 closed up 0.53 percent at 8,873.80 while the broader All Ordinaries index ended up 0.51 percent at 9,149.10.

Lender Westpac surged 6.3 percent after posting slightly higher third-quarter profit. Peers ANZ and NAB rose about 2 percent each ahead of their quarterly results due on Friday.

Miners declined, with Rio Tinto tumbling 3.7 percent and Fortescue falling 1.7 percent, after Chile's state copper commission cut its 2025 production growth forecast.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index rose 0.53 percent to 12,834.08.

Gold traded below $3350 per ounce in Asian trade and the U.S. dollar languished at multi-week lows versus major peers while oil prices rose amid uncertainty over what impact the U.S.-Russia summit on Ukraine might have on Russian crude flows.

U.S. stocks rose overnight as tame inflation data released the day before spurred bets of a rate cut at the Fed's September meeting.

The tech-heavy Nasdaq Composite inched up 0.1 percent and the S&P 500 added 0.3 percent to reach new record closing highs while the narrower Dow climbed 1 percent.