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Stocks - Nikkei On Track For 3rd Straight Gain; Apple Suppliers Noted

Published 09/13/2017, 12:37 AM
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Investing.com - Stocks in Asia were mixed with Greater China weaker on Wednesday, but other markets led by Japan higher and as suppliers to Apple generally got a lift on the launch of its latest phone model unveiling.

Japan's Nikkei 225 rose 0.49%, building on three-straight days of gains, while Australia's S&P/ASX 200 gained 0.20%. The Greater China markets however were weaker. The Hang Seng index eased 0.29%, while the Shanghai Composite fell 0.09%.

In South Korea, where the Kospi rose 0.21%, Apple suppliers were in focus during the session after Apple unveiled its newest iPhone model — the iPhone X — at a product launch on Tuesday.

South Korean memory chip maker SK Hynix surged 2.41% and Samsung Electronics (KS:005930) rose 1.37%. Apple suppliers in Taiwan were under pressure, with lens supplier Largan Precision falling 3.84%. Hon Hai Precision Industry, which assembles Apple iPhones, lost 0.85%.

Overnight, U.S. stocks closed higher on Tuesday as investor appetite for risker assets remained supported following a surge in Financials amid a rebound in Treasury yields while upbeat comments from Treasury Secretary Steven Mnuchin lifted sentiment.

The Dow Jones Industrial Average closed higher at 22,118.86. The S&P 500 closed 0.34% higher while the Nasdaq Composite closed at 6454.28, up 0.34%.

The risk-on trade continued to grip markets as U.S. stocks closed at record highs, led by Financials, mostly banks, following a sharp rise in U.S. treasury yields after recent concerns over Irma and North Korea faded.

On the political front, investors mulled over comments from Treasury Secretary Steven Mnuchin who said the Trump administration is considering backdating tax reform to the start of the year to boost the American economy.

Backdating "is still something we are considering and it would be a big boon for the economy," Mnuchin said at the Delivering Alpha conference on Tuesday.

Meanwhile, economic data showing the U.S. labor market continued to strengthened added to positive sentiment.

The U.S. Labor Department's latest Job Openings and Labor Turnover Survey (JOLTs) report, a measure of labor demand, showed job openings in July improved to about 6.2m, beating expectations of 5.96m.

On the corporate news front, Apple continued to garner most of the attention in the wake of its annual consumer products event, where it unveiled three new iPhone models including the iPhone X which is set to hit the shelves on November 3.

Shares of Apple Inc (NASDAQ:NASDAQ:AAPL) closed at 160.82, down 0.42%.

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