Asian Stock Market: Trades mixed despite Japan’s stimulus news

• Asian equities seesaw amid downbeat stock futures, US Treasury yields.
• Japan government agrees over $441 voucher to battle the pandemic-led economic woes.
• China’s NDRC held meeting with property developers and banks in Shenzhen amid debt woes.
• Tapering, rate hike concerns join Fed reshuffle chatters to weigh on the mood.

Asian shares struggle for a clear direction, mostly pressured ahead of Tuesday’s European session, despite Japan announcing a broad stimulus measure to combat the virus-led economic hardship. The reason could be linked to the Fed-linked fears over tapering and rate hikes, as well as the indecision over the US central bank’s future move as various key members are set to leave the Fed.

“Japan's ruling Liberal Democratic Party (LDP) and coalition partner Komeito agreed to offer 50,000 yen ($441) worth of vouchers to children aged 18 or younger as part of the government's stimulus package, Jiji news agency reported on Tuesday,” per Reuters. On the other hand, multiple Fed policymakers are likely to leave from their positions, including Fed Chair Jerome Powell and the same triggers chatters over future monetary policy tightening as inflation pressure mounts.

Elsewhere, China’s National Development and Reform Commission (NDRC) has held a meeting with property developers and banks in Shenzhen amid fears of mounting debt concerns, per Reuters, which in turn weighs on the sentiment. Also negative were clues hinting that China’s factory-gate inflation is likely running towards a 26-year high, per Bloomberg.

Amid these plays, MSCI’s index of Asia-Pacific shares outside Japan rises 0.29% whereas Japan’s Nikkei 225 drops 0.70% at the latest. Stocks in Australia, Hong Kong and China remain downbeat whereas equities in New Zealand and Indonesia print mild gains by the press time.

Moving on, India’s BSE Sensex tracks mildly offered US stock futures whereas the US 10-year Treasury yields drop three basis points (bps) to 1.46%.

Looking forward, speeches from the key central bankers from the US, Eurozone and the UK will be important for near-term direction.

Read: S&P 500 Futures snap five-day uptrend on mixed concerns, Fed’s Powell eyed