A pedestrian walks past an electronic stock board showing a chart of the yen against the US dollar at a securities firm in Tokyo, Japan on Thursday, August 30, 2018
Kiyoshi Ota | Bloomberg | Getty Images
Asia-Pacific markets were trading mixed on Monday as the development of Brexit over the weekend created additional uncertainty about the impending departure of the UK from the European Union.
I n Japan, the Nikkei 225 rose 0.23%, while the Topix Index added 0.41
US stocks on the continental market were trading down: the Shanghai stock was down 0.51%, the Shenzhen stock was down 0.52% and the Shenzhen stock was losing 0.11%.
In Hong Kong, Hang Seng's index advanced by 0.17%
Overall, MSCI's broadest index of Asian stocks outside Japan rose by 0.19%.
"Global markets and political events appear to be a 'semi-complete' regime in which the results are not completely severe; even if some degree of uncertainty and risks persist," wrote Vishnu Varatan, Economy Leader in a morning note and strategy at Mizuho Bank.
United Kingdom Prime Minister Boris Johnson was thwarted by an inter-party group of politicians in parliament who voted to postpone a "meaningful vote" on his new Brexit deal. This has forced Johnson to ask Brussels for an extension to the current departure deadline of 31 October, but EU leaders do not have to accept it.
This week, the British Government will submit a full draft law to withdraw the agreement in order to try and adopt it. through the upper and lower chambers of Parliament. A crucial vote by lawmakers is likely to come later this week.
The pound "is likely to remain somewhat volatile but backed up as the chances of a hard (no deal) Brexit seem very slim and any other Brexit delay or ratification of a new withdrawal agreement in the UK House of Commons will happen this week, "currency strategists at the Commonwealth Bank of Australia wrote in a morning note.
The British Pound was changed to $ 1.2916, climbing from an earlier level to about $ 1.2873, but lower than the previous close at $ 1.2971.
US-China Trade Negotiations
Elsewhere, the US and China have made "significant progress" during trade talks, according to Chinese Deputy Prime Minister Liu Liu, Reuters reported, after reaching a partial trade deal earlier this month, Beijing and Washington are working to sign a written agreement.
Both countries apply billions of dollars worth of products to each other, which have blown up global markets, created business insecurity and inspired. economic prospects around the world. China said last week that in the third quarter its economy grew by 6% compared to the previous year, which is thought to be the slowest GDP growth in the country since at least 27.5 years.
"Trade tensions between the US and China weigh against China's manufacturing and export sectors, while Beijing's measured fiscal and monetary stimulus is merely a countervailing force," Rodrigo Catril, a senior monetary strategist at the National Bank of Australia, wrote in a morning note.
"China's economic growth is slowing down as officials have one eye on tensions in the US while at the same time striving to tidy up the financial system and curb excessive credit growth," said Katrill, adding that if US tariffs not eliminated, "further economic slowdown seems likely."
Currencies and Oil
The US dollar traded at 97.340 against a basket of peers, falling from levels near 97,400.
The Japanese yen, which is considered the safe haven currency, traded at $ 108.49, weakening from around 108.28, while the Australian dollar traded at $ 0.6863.
Oil prices fell Monday morning during Asian hours. United States raw materials fell 0.22% to $ 53.66 a barrel, while the global Brent fell 0.34% to $ 59.22.