Asian stocks mixed as Tokyo closed as fresh tests for markets loom

BANGKOK (AP) — Asian stocks were mixed in quiet trading Monday ahead of key reports this week on the state of the U.S. economy.

Hong Kong’s Hang Seng Index rose 0.2% to 17,120.23, and the Shanghai Composite Index rose 0.1% to 2,863.23.

Markets in Tokyo and Bangkok were closed for public holidays.

In Seoul, the Kospi index jumped 1.1 percent to 2,616.11 points, with shares of Samsung Electronics gaining 1.1 percent, tracking gains by major technology companies late last week. Taiwan’s Taiex also gained 1.1 percent, while major computer chipmaker Taiwan Semiconductor Manufacturing Co. edged up just 0.1 percent, while electronics maker Hon Hai Precision Electronics, also known as Foxconn, jumped 4.5 percent.

Australia’s S&P/ASX 200 index rose 0.5% to 7,815.60.

Last week got off to a rocky start, with markets reeling from a selloff sparked by concerns that the U.S. economy was slowing too quickly. Japanese stocks suffered the worst percentage loss since Black Monday 1987But the end ended quietly after more major U.S. companies joined the pile, reporting spring profits that beat analysts’ expectations.

“The recent string of stronger-than-expected US economic data has helped to dispel recession fears, with rate expectations now suggesting that the US Federal Reserve (Fed) may retain more flexibility in its monetary policy easing process than is forced by higher economic risks,” Yeap Jun Rong of IG said in a commentary.

The S&P 500 rose 0.5% to close at 5,344.16 on Friday, after best day since 2022 and cut its loss after the crazy week to less than 0.1%.

The Dow Jones Industrial Average rose 0.1% to 39,497.54, and the Nasdaq Composite added 0.5% to finish at 16,745.30.

Besides inflation reports, this week will also bring updates on retail sales and unemployment.

THE Latest Jobs Report raised hopes for the economy after the previous week frightened investors. Households at the People at the lower end of the income spectrum have been struggling for some time to track continued price increases, but economists expect the report to show a return to growth after retail spending stagnated in June.

The worst-case scenario would be that Tuesday and Wednesday’s inflation reports show higher-than-expected price increases at the wholesale and consumer levels, while the rest of the week’s reports show a sharp weakening in the economy.

The frenzy over AI has helped a handful of Big Tech stocks propel the S&P 500 to dozens of all-time highs this year, even as high rates have weighed on other sectors of the market. But the group of stocks known as “The Magnificent Seven” lost momentum last month due to criticism, investors got carried away and bid up prices too high.

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All Magnificent Sevens gained Friday, except Nvidia, which fell 0.2%.

Concerns remain about the strength of the american economyThey pushed Treasury yields lower on Friday as investors sought safer places for their money and expectations grew for deeper rate cuts to come…