Asian markets were mostly lower in early trading Monday, as global trade tensions showed no signs of easing.
On Sunday, the White House said President Donald Trump was “deadly serious” about imposing punitive tariffs against all imports from Mexico unless the stream of migrants crossing the border was significantly slowed. Meanwhile, China blamed the U.S. for the breakdown in trade talks, and said it won’t back down, although it left the door open for further negotiations with the U.S.
On Monday, the private Caixin gauge found China’s factory activity was flat in May, though still in expansion territory, contrary to previous data that indicated cooling manufacturing activity.
Japan’s Nikkei fell 1.2% NIK, -0.92% and the Hong Kong’s Hang Seng Index HSI, -0.03% retreated 0.4%. The Shanghai Composite SHCOMP, -0.30% slipped 0.7% while South Korea’s Kospi 180721, +1.28% rose 0.6%. Benchmark indexes were down in Taiwan Y9999, +0.02% and Singapore STI, +0.18% , and Australia’s S&P/ASX 200 XJO, -1.19% fell 0.9%.
Among individual stocks, SoftBank Group 9984, -6.22% fell in Tokyo trading after the Wall Street Journal reported money managers have been cool to its bid to start a new $100 mega fund. Nippon Steel 5401, -0.89% and Toyota 7203, -0.64% also dropped. In Hong Kong, China Mobile 941, +2.92% gained while casino operator Sands China 1928, -3.38% and property developer Country Garden 2007, -0.94% slipped. Samsung 005930, +3.06% and LG Electronics 066570, +3.05% surged in South Korea. In Australia, BHP BHP, -2.52% , Rio Tinto RIO, -3.18% and Beach Energy BPT, -4.41% fell.