Investing.com - Asian shares were mixed on Friday with China rebounding as a G20 meeting in Shanghai gets underway for the weekend that is expected to set a tone for global markets next week.
The Nikkei 225 rose 1.16% as the Bank of Japan chief hinted at further easing, while the S&P/ASX 200 was down 0.12%.
In China, share prices rebounded after PBOC chief Zhou Xiaochuan said at the G20 meeting that China wants to improve its stock market.
The benchmark Shanghai Composite Index was last up 0.25% and the hong Kong Hang Seng Index was up 1.69%. On Thursday, the Shanghai Composite Index tumbled more than 6%, amid tighter liquidity requirements, while the offshore yuan moved lower for the fifth consecutive session.
It came as the People's Bank of China broadened reserve constraints for a number of financial institution, which reportedly received more favorable treatment from the Chinese central bank in recent months. As a result, the overnight repurchase rate surged 14 basis points, its highest amount In two weeks, to 2.11%. The decline in China's benchmark index marked the steepest one-day fall in a month, pushing year-to-date losses to 22%.
On Friday, the yuan is down against the dollar after the People's Bank of China set a weaker fixing for a fourth consecutive session at 6.5358.
In the money market the seven-day repo average was last at 2.3020% after opening at 2.25% compared with Thursday's average of 2.3027%.
Overnight, U.S. stocks were higher after the close on Thursday, as gains in the Consumer Goods, Financials and Technology sectors led shares higher.
At the close in NYSE, the Dow Jones Industrial Average added 1.29% to hit a new 1-month high, while the S&P 500 index gained 1.13%, and the NASDAQ Composite index gained 0.87%.