Pedestrians along the Bund across from commercial buildings in Pudong's Lujiazui Financial District in Shanghai, China, on Friday, Sept. 13, 2024. Chinas central bank has announced a sweep of support for the economy, as pressure mounts on authorities to unleash stimulus and hit this years growth target of around 5%. Photographer: Qilai Shen/Bloomberg 
Shares in China, Hong Kong and South Korea fell while US stock futures advanced. Japan’s Finance Minister Katsunobu Kato said he sees one-sided, rapid moves in the currency market after the yen slumped over 1% against the dollar on Wednesday.
Benchmark 10-year US yields dropped two basis points, partly erasing the prior session’s increase when it hit the highest level in almost three months. Oil prices rebounded after retreating on Wednesday as traders assessed tensions in the Middle East and the outlook for market balances heading into 2025.
In the US, the presidential contest between Donald Trump and Kamala Harris could hardly be tighter, with the candidates statistically tied among likely voters in each of the seven swing states in the Bloomberg News/Morning Consult poll.
“Asian markets are generally mixed in today’s session, with some market anxiety in place as we inch closer to the upcoming US elections,” said Jun Rong Yeap, market strategist at IG Asia Pte. “Recent strength in the US dollar and a surge in Treasury yields remain a source of reservation for aggressive risk-taking in the region.”
Regional equities have lost momentum after rallying 5% in September as traders weigh the risks including concerns about whether China’s recent stimulus blitz is enough to revive growth. The pace of Federal Reserve easing is also on investors’ radar, with swap traders now less than 100% certain of rate cuts over the two remaining policy meetings this year.
“There is still some doubt whether the stimulus changes things fundamentally,” Vanessa Xu, chief investment officer at VS Partners, told Bloomberg TV. The very large price swings in Chinese stocks in recent weeks reflects “a tug of war between tourist money and serious long money,” she said.
Elsewhere, Taiwan Semiconductor Manufacturing Co. halted shipments to a client after discovering that chips made for that client ended up with Huawei Technology Co, potentially violating US sanctions. In South Korea, SK Hynix Inc.’s shares gained after the firm posted record quarterly profit and revenue.
Over in Hong Kong, Horizon Robotics Inc.’s shares jumped nearly 38% in their trading debut, adding to optimism over a revival in initial public offerings in the Asian financial hub.
A pullback in US and Asia-based tech and artificial intelligence companies has opened up an attractive entry point, Julia Wang, executive director and global market strategist at JPMorgan Private Bank, said on Bloomberg Television.
“The Treasury yield move and the relentless move in the dollar have clouded investor risk appetite, but we are looking at the medium term and there is no reason this shouldn’t be a great buy-the-dip opportunity,” Wang said.
In commodities, gold edged higher after falling by the most in 11 weeks on Wednesday on higher US bond yields and profit-taking near record-high levels.