Asian markets opened on a mixed note this Thursday, as investors digested a wave of corporate earnings, fluctuating oil prices, and renewed caution over the outlook for global interest rates. Trading remained subdued ahead of key U.S. economic data expected later in the day.
Cautious optimism in Japan and South Korea
Japan’s Nikkei 225 edged 0.3 percent higher in early trade, buoyed by technology and consumer stocks. The yen remained near ¥149 against the dollar, offering some support to exporters, while investors awaited the Bank of Japan’s policy statement next week for clues on any potential shift away from ultra-loose monetary policy.
In South Korea, the Kospi slipped 0.2 percent after a choppy start. Heavyweight chipmakers such as Samsung Electronics and SK Hynix traded lower amid profit-taking, though analysts said long-term demand for memory chips remained strong due to AI-driven infrastructure investment across Asia.
China and Hong Kong under pressure
Mainland Chinese equities continued to struggle, with the Shanghai Composite down 0.4 percent. Weak consumer confidence and a soft property market kept sentiment muted despite government efforts to stabilise the economy. The Hang Seng Index in Hong Kong fell 0.6 percent, weighed down by declines in real-estate and tech names, including Alibaba and Country Garden.
Investors remained wary of geopolitical tensions and slowing global demand, which could hinder China’s recovery. However, there were signs of increased state-backed purchases of blue-chip shares, suggesting authorities are seeking to support market stability.
Southeast Asia steady amid resilient demand
Elsewhere in the region, Singapore’s Straits Times Index rose 0.2 percent, while Malaysia’s Bursa and Thailand’s SET both traded flat. Indonesia’s Jakarta Composite gained 0.4 percent on strong energy-sector performance, reflecting steady regional demand for coal and palm oil exports.
Analysts said Southeast Asia continues to benefit from resilient domestic consumption and shifting supply chains, as manufacturers diversify away from China. The Philippine peso and Thai baht both held firm against the U.S. dollar, reflecting moderate currency stability.
Regional outlook remains data-dependent
With U.S. GDP and inflation figures due later today, traders across Asia are treading cautiously. The data could offer crucial insight into whether the Federal Reserve will maintain elevated interest rates into early 2026. A more dovish signal could bolster Asian equities, while a higher-for-longer outlook might trigger renewed capital outflows from emerging markets.
Newshub Editorial in Asia – 23 October 2025
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