Asian markets were mixed on Tuesday in cautious trade as investors awaited the outcome of the knife-edge US presidential election, while concerns over the eurozone returned to the fore.
Eyes are also on the start this week in China of the Communist Party’s 18th congress, which will see a once-in-a-decade leadership transition.
Tokyo softened 0.33 percent, Hong Kong slipped 0.26 percent, Shanghai lost 0.16 percent, Sydney added 0.24 percent and Seoul rose 0.22 percent.
Tuesday’s US poll sees President Barack Obama and his Republican challenger Mitt Romney neck-and-neck, leaving markets in a tight band as traders held off making any bets until the outcome was known.
“Players remain on edge, as the outcome is simply too close to call,” said Hiroichi Nishi, general manager of equities at SMBC Nikko Securities.
Wall Street closed Monday slightly higher.
The Dow gained 0.15 percent, the S&P 500 advanced 0.22 percent and the Nasdaq added 0.59 percent.
A downbeat set of data on activity in the US services sector weighed on sentiment in New York.
The Institute for Supply Management reported its purchasing managers index for the non-manufacturing sector dropped to 54.2 in October from 55.1 in September. Most analysts had forecast a decline to 54.5.
Anything above 50 is considered growth while anything below is seen as a contraction.
In Europe an official said finance ministers of the 17-nation eurozone were unlikely to make a formal decision on the instalment batch of crucial bailout cash for Greece next week, despite the fact Athens will likely run out of money this month.
Athens will hold crucial votes this week on a fresh round of austerity demanded by international lenders, while the country is gripped by a new wave of strikes.
The global uncertainty weighed on the euro, which fell to its lowest level in two months against the dollar during New York trade.
The euro bought $1.2785 in early Asian trade against $1.2791 late Monday in New York, where it had briefly hit $1.2767, its weakest since September 11.
The euro also fetched 102.54 yen against 102.69 yen, while the dollar was trading at 80.18 yen against 80.28 yen.
Oil prices were lower, with New York’s main contract, light sweet crude for delivery in December falling three cents to $85.62 a barrel and Brent North Sea crude for December delivery shedding eight cents to $107.65.
Gold was at $1,685.30 at 0200 GMT compared with $1,679.75 late Monday.
Source: AFP
