Equities in China underperformed the region on Thursday as traders awaited signals of further stimulus from policymakers in Beijing ahead of a key economic meeting next month.
Benchmarks in Hong Kong and mainland China fell, while stocks in Australia advanced. Shares in Japanese semiconductor-related companies jumped amid a report that the US is considering lighter-than-expected restrictions on sales of chip equipment and AI memory semiconductors to China.
US equity futures climbed. Usually held in December, China’s Central Economic Work Conference typically offered a blueprint on monetary, fiscal and various industrial policies for the coming year.
The talk of sanctions underscored the persistent threat to already fragile trade relations between the US and China, which was weighing on the region.
Asian equities were on pace for their first back-to-back monthly drawdown this year following the dollar’s recent advance and concerns over escalating trade tensions.
Despite optimism on the potential for further stimulus from Beijing, “there are increased concerns and frustrations” from investors, Winnie Wu, China equity strategist for Bank of America Securities, said on Bloomberg Television.
