Asian Markets Trade Mixed

(RTTNews) - Asian stock markets are trading mixed on Monday, following the broadly positive cues from Wall Street on Friday, amid continued uncertainty over the end to the U.S.-Iran conflict after US President Donald Trump rejected Iran's latest conditional proposal to reopen the Strait of Hormuz. Trump said he expects negotiations to resume this week, but Iran said it would not soften its conditions. Asian markets closed mixed on Friday.

Worries about the outlook for global inflation have helped solidify expectations that the US Fed will continue raising interest rates next month. CME Group's FedWatch Tool is currently indicating a 65.9 percent chance the Fed will raise rates by another quarter point at its late October meeting.

The Australian stock market is modestly higher on Monday, reversing some of the losses in the previous two sessions, following the broadly positive cues from Wall Street on Friday. The benchmark S&P/ASX 200 index is moving well above the 8,700.00 level, with weakness in energy and mining stocks partially offset by gains in financial and technology stocks.

The benchmark S&P/ASX 200 Index is gaining 19.40 points or 0.22 percent to 8,684.40, after touching a high of 8,697.60 earlier. The broader All Ordinaries Index is up 10.90 points or 0.12 percent to 8,856.50. Australian stocks closed modestly lower on Friday.

Among the major miners, Fortescue is edging down 0.1 percent and Rio Tinto is losing almost 1 percent, while Mineral Resources and BHP Group are edging up 0.1 percent each.

Oil stocks are mostly lower. Woodside Energy is losing almost 1 percent and Beach energy is declining almost 2 percent, while Origin Energy and Santos is edging down 0.3 to 0.4 percent each.

Among tech stocks, Afterpay owner Block is edging down 0.3 percent, while Appen is gaining more than 1 percent, WiseTech Global is advancing almost 2 percent, Zip is edging up 0.3 percent and Xero is almost 1 percent.

Gold miners are mostly lower. Resolute Mining is down more than 1 percent, Genesis Minerals is losing more than 1 percent and Newmont is edging down 0.2 percent, while Evolution Mining is edging up 0.2 percent. Northern Star Resources is soaring more than 9 percent after rejecting a takeover offer from South African miner Gold Fields.

Among the big four banks, Commonwealth Bank is edging down 0.1 percent, while ANZ Banking, Westpac and National Australia Bank are gaining almost 1 percent each.

In other news, shares in Karoon Energy are tumbling more than 12 percent after lowering full-year 2026 production guidance following operational setbacks.

In the currency market, the Aussie dollar is trading at $0.702 on Monday.

The Japanese stock market is slightly lower in choppy trading on Monday after opening well in the red, reversing some of the gains in the previous two sessions, despite the broadly positive cues from Wall Street on Friday. The Nikkei 225 is falling below the 66,350 level, with gains in weakness in financial stocks partially offset by automakers, financial and technology stocks.

The benchmark Nikkei 225 Index closed the morning session at 66,333.53, down 30.67 points or 0.05 percent, after touching a high of 67,034.74 earlier. Japanese shares ended sharply higher on Friday.

Market heavyweight SoftBank Group is gaining almost 3 percent, while Uniqlo operator Fast Retailing is edging down 0.4 percent. Among automakers, Honda is adding almost 1 percent and Toyota is gaining more than 1 percent.

In the tech space, Advantest is gaining more than 1 percent, Tokyo Electron is edging up 0.4 percent and Screen Holdings is advancing more than 4 percent.

In the banking sector, Mizuho Financial and Mitsubishi UFJ Financial are gaining more than 1 percent each, while Sumitomo Mitsui Financial is edging up 0.4 percent.

The major exporters are mixed. Mitsubishi Electric is edging up 0.3 percent. Panasonic is losing almost 1 percent, while Canon and Sony are edging down 0.1 0.2 percent each.

Among the other major gainers, Ebara is surging almost 5 percent and Disco is adding almost 3 percent.

Conversely, Ibiden is declining more than 3 percent and Daiichi Sankyo is losing almost 3 percent.

In economic news, the Bank of Japan will on Monday release the minutes from its monetary policy meeting on July 30-31. At the meeting, the B0J voted 8-1 to retain the interest rate at 1.00 percent after raising its benchmark rate by 25 basis points in June. In the Outlook for Economic Activity and Prices, the bank said there is risk of underlying inflation deviating upward above the 2 percent target.

In the currency market, the U.S. dollar is trading in the higher 157 yen-range on Monday.

Elsewhere in Asia, South Korea and China are down 2.3 and 1.2 are, respectively. Indonesia is down 0.9 percent. New Zealand, Hong Kong and Singapore are higher by between 0.1 and 0.6 percent each. Taiwan is closed for Teacher's Day holiday. Malaysia is relatively flat.

On Wall Street, stocks fluctuated early in the session on Friday but moved mostly higher over the course of the trading day. The major averages all finished the day in positive territory after ending the previous session roughly flat.

The Dow advanced 478.64 points or 0.9 percent to 51,828.62, bouncing off its lowest closing level in over three months. The Nasdaq climbed 129.34 points or 0.5 percent to 27,068.72 and the S&P 500 rose 39.28 points or 0.5 percent to 7,743.41.

Meanwhile, the major European markets turned in a mixed performance on the day. The German DAX Index climbed by 0.6 percent and the U.K.'s FTSE 100 Index inched up by 0.1 percent, although the French CAC 40 Index bucked the uptrend and closed just below the unchanged line.

Crude oil prices retreated from recent highs on Friday following reports that Iran has submitted a proposal to the United States to end their war and reopen the Strait of Hormuz within seven days.