Asian markets mixed ahead of U.S. jobs report data

Wall Street earlier began the new quarter on an upbeat note as an encouraging report on the U.S. manufacturing sector helped offset weak news from the private labor market.

The Dow Jones Industrial Average rose 0.68 percent.

The Institute of Supply Management manufacturing index, also known as the purchasing managers index, increased to 44.8 percent from 42.8 percent in May. It was below the 50-percent level that separates expansion and contraction, and just under the 45 percent expected by private economists. Shanghai closed up 1.73 percent, closing at its highest point in over a year, raising fears that the already hot market was due a correction.

Tokyo edged down 0.64 percent as investors turned cautious ahead of a U.S. non-farm payrolls report due later Thursday, dealers said, while Hong Kong lost 1.09 percent on a lack of firm buying signals.

TOKYO: Down 0.64 percent. The Nikkei-225 lost 63.78 points to end at 9,876.15. “The bottom line is, investors are still worried about the health of the U.S. economy,” Hiroyuki Fukunaga, chief executive at Investrust, told Dow Jones Newswires.

HONG KONG: Down 1.09 percent. The Hang Seng Index lost 200.68 points to 18,178.05. Dealers said they saw limited room for further gains in the near term.

“Investors are waiting for the right opportunity to sell, with major local blue-chips already succumbing to profit-taking,” said Peter Lai, director at DBS Vickers.

SYDNEY: Flat. The S&P/ASX 200 rose 3.3 points, or 0.09 percent, to 3,877.3. News of a ballooning trade deficit tempered early gains, dealers said.

“The big money is more than happy on the sidelines, especially ahead of U.S. non-farm payrolls today and the Independence Day holiday on Friday,” said IG Markets analyst Ben Potter.

SHANGHAI: Up 1.73 percent. The Shanghai Composite Index, which covers A and B shares, was up 52.10 points to 3,060.25. Insurance companies' higher-than-expected investment returns helped push the key index to its highest point in more than a year, dealers said.

SEOUL: Flat. The KOSPI ended down 0.18 points at 1,411.48. “The market was mostly quiet today. Investors seem to be mostly in a wait-and-see mode before the release of U.S. employment data,” Lee Sun-Yup of Goodmorning Shinhan Securities said.

SINGAPORE: Down 1.35 percent. The Straits Times Index fell 31.73 points to 2,320.82.

KUALA LUMPUR: Down 0.1 percent. The Kuala Lumpur Composite Index fell 0.69 points to close at 1,078.71.

JAKARTA: Up 0.28 percent. The Jakarta Composite Index gained 5.86 points to 2,065.75. The market was led by foreign buying in telecommunications and bank blue chips amid hopes for an interest rate cut this week, dealers said.

MANILA: Up 0.21 percent. The composite index put on 5.15 points to close at 2,438.04. “The market will continue to wait for developments in the overseas markets in the absence of major news locally,” said Emmanuel Soller of Equity World Securities.

BANGKOK: Down 1.85 percent. The Stock Exchange of Thailand dropped 11.06 points to close at 586.42. Analysts blamed the fall on “profit taking, particularly by local institutional investors for their mid-year window-dressing,” said Kitti Hemilrat, chief analyst at Ayudhya Securities.

WELLINGTON: Down 0.44 percent. The NZX-50 fell 12.18 points to 2,768.19

MUMBAI: Flat. The 30-share Sensex edged up 13.02 points or 0.09 percent to 14,658.49.

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