Asian Markets Mixed on Thursday as Hong Kong Rises, Japan Falls, and South Korea Drops on Tariff Concerns

 

Asian equity markets saw mixed performance, with Hong Kong and mainland China posting gains, while Japan fell and South Korea declined sharply on trade concerns.

 

Hong Kong's Hang Seng Index rose 0.41%, the Hang Seng Tech Index gained 0.29%, and the China Enterprises Index advanced 0.27%. Biotech and consumer stocks led the rally, with Innovent Biologics surging over 17%, Bluepha rising nearly 16%, and Mixue Group gaining more than 5% after earnings.

 

In Japan, the Nikkei 225 Index fell 0.6%, while the TOPIX Index edged up 0.09%. Semiconductor-related stocks struggled, with Advantest and Fujikura dropping over 7%, and Disco falling more than 4%. SoftBank Group and Mitsubishi Motors lost over 3%, while Fujitsu jumped nearly 4% and Japan Property Insurance and Dai-ichi Life Holdings rose more than 2%.

 

China's Shanghai Composite Index climbed 0.15% to 3,373.75, as lithography, chemicals, and innovative pharmaceuticals led gains. However, deep-sea technology, non-ferrous metals, and power stocks underperformed. Goldman Sachs reported that global investor interest in Chinese equities is at a four-year high, signaling potential further upside.

 

South Korea's KOSPI Index plunged 1.4% to 2,607.15, weighed down by automakers, steelmakers, and shipbuilders. Investor sentiment soured after former U.S. President Donald Trump announced plans for a 25% auto tariff, with expectations of additional reciprocal tariffs on April 2. Hyundai Motor and Kia dropped 4.3% and 3.5%, while Hyundai Steel lost 3.3%. HD Korea Shipbuilding & Offshore Engineering tumbled 5.4%. The USD/KRW exchange rate settled 0.1% lower at 1,465.30, while South Korea's 10-year bond yield edged up 0.6 basis points to 2.845%.

 

Malaysia's FTSE Bursa Malaysia KLCI Index climbed 1.16% to 1,535.73.

 

Singapore's Straits Times Index (STI) advanced 0.40% to 3,979.73 as trading continued.