Asian markets mostly flat on Tuesday

Asian markets traded cautiously on Tuesday in thin holiday conditions, while oil prices were mixed ahead of US–Iran nuclear talks in Geneva.

Most major Asian markets, including China, Hong Kong, Singapore, Taiwan and South Korea, were closed for the Lunar New Year, while US markets were shut on Monday for Presidents’ Day. Japan’s Nikkei fell 0.9 per cent, while Australia’s S&P/ASX 200 rose 0.24 per cent. Nasdaq futures dropped 0.8 per cent, and S&P 500 futures eased 0.4 per cent.

US 10-year Treasury yields slipped 2.5 basis points to 4.029 per cent. In Japan, 20-year and 30-year government bond yields fell to 3.025 per cent, while the five-year yield declined to 1.625 per cent after a weak auction.

The dollar index held steady at 97.12. The yen weakened 0.3 per cent to 153.05 per dollar after data showed Japan’s economy grew an annualised 0.2 per cent in the fourth quarter, missing forecasts of 1.6 per cent. The figures reinforced expectations that the Bank of Japan is unlikely to raise interest rates at its March meeting.

Attribution: Reuters