Asian markets open mixed as investors weigh inflation data and US earnings

Asian markets opened with a mixed tone on Thursday as investors assessed regional inflation figures, US corporate earnings, and expectations surrounding future Federal Reserve policy moves. While most major indices showed modest gains, trading remained cautious amid persistent concerns over slowing global demand and volatile currency movements.

Japan and South Korea edge higher
Tokyo’s Nikkei 225 advanced modestly in early trading, supported by technology and export-oriented stocks following overnight gains on Wall Street. The yen stabilised near 149.7 per US dollar after touching a two-week low, providing a slight boost to exporters such as Sony and Toyota. In South Korea, the Kospi also edged higher, driven by strength in chipmakers, though lingering uncertainty over global semiconductor demand capped further gains.

China and Hong Kong under pressure
In contrast, mainland Chinese equities opened slightly lower as investors remained cautious about the strength of domestic consumption. The Shanghai Composite fell marginally, weighed by real estate and financial stocks, while Hong Kong’s Hang Seng Index declined on concerns over slowing property sales and foreign investment outflows. Market sentiment was also dampened by mixed trade data suggesting uneven recovery momentum.

India sees continued momentum
Indian equities opened on a positive note, extending their recent rally. The BSE Sensex and NSE Nifty both gained in early trading, supported by financials and infrastructure shares. Investor confidence was buoyed by expectations that the Reserve Bank of India will maintain a steady policy stance after recent inflation readings showed signs of easing. Foreign institutional inflows have also strengthened the rupee, which traded near 83.1 against the dollar.

Southeast Asia trades in narrow ranges
Markets across Southeast Asia saw muted movement. Singapore’s Straits Times Index traded flat, while Malaysia’s Kuala Lumpur Composite Index held steady amid cautious sentiment ahead of key earnings reports. In Indonesia, the Jakarta Composite Index rose slightly, supported by energy and consumer stocks, while Thailand’s SET Index drifted lower due to continued weakness in tourism-related shares.

Outlook remains cautious
Traders across the region are now awaiting fresh cues from upcoming US economic data and corporate earnings reports to gauge global risk appetite. While the broader tone remains stable, analysts warn that rising US bond yields and geopolitical uncertainty could limit near-term upside for Asian equities.

Newshub Editorial in Asia – 16 October 2025