Stocks Mixed as Kospi Rallies; Iron Ore Slides

Australian stocks fell after metal prices declined, while South Korean shares rallied to a record high and Chinese equity markets fluctuated. The dollar held gains in the wake of the Federal Reserve’s policy meeting.

Iron-ore futures tumbled amid inventory concerns in industrial metals. With Japanese markets closed for a holiday, bonds in much of Asia tracked a retreat in Treasuries after the Fed reiterated plans for gradual interest-rate increases. The Aussie dollar recouped some losses after the central bank reaffirmed its faith in the jobs market. South Korean stocks built on gains as foreign investors snapped up shares, while the Hang Seng Index remained in the red even after heavyweight HSBC jumped on a surprise increase in profit.

Fed Chair Janet Yellen and at least five other central bank officials are scheduled to speak Friday. The U.S. fiscal outlook may also be in play, with the House expected to vote Thursday on a new version of a health-care bill. Majority Leader Kevin McCarthy says the Republican legislation will have the numbers to pass, but given the earlier struggles it’s far from a done deal.

A U.S. report Wednesday showed private payroll gains slowed in April, ahead of Friday’s key official employment report amid concern around the U.S. economy’s tepid start to the year. The next hurdle for investors to clear is Sunday’s French presidential election.

Here are the main moves in markets:

Currencies

· The yen was down 0.1 percent at 112.81 per dollar as of 2:50 p.m. in Tokyo, and the euro was up 0.1 percent at $1.0895. The Bloomberg Dollar Spot Index was up less than 0.1 percent after gaining 0.4 percent Wednesday.

· The Aussie was down 0.1 percent at 74.14 U.S. cents, having Wednesday slumped 1.5 percent, the most since November.

Bonds

· The yield on 10-year Australian government bonds rose 5 basis points to 2.64 percent.

· Yields on 10-year Treasuries rose 4 basis points to 2.32 percent Wednesday. With Japan out for a holiday, Treasuries weren’t trading in Asia.

Stocks

· Futures on the S&P 500 Index rose 0.1 percent after the underlying gauge slid 0.1 percent Wednesday. The Stoxx Europe 600 Index closed little changed.

· Australia’s S&P/ASX 200 Index lost 0.3 percent. The Hang Seng Index fell 0.4 percent and the Hang Seng China Enterprises Index dropped 1 percent, the most in a week. The Shanghai Composite Index was little changed after reversing a loss of as much as 0.8 percent.

· South Korea’s Kospi index rose 0.7 percent, India’s Sensex jumped 0.5 percent.

Commodities

· A measure of iron-ore futures fell 6.9 percent on the Dalian Commodity Exchange.

· Copper futures were up 0.2 percent after sliding 3.7 percent Wednesday, the worst tumble since 2015.

· Nickel futures rose 0.1 percent following a 3.3 percent drop the previous day. Lead was up 0.3 percent, and aluminum was 0.1 percent lower. The London Metal Exchange LMEX Metals Index slumped 2.5 percent Wednesday.

· Oil declined 0.3 percent to $47.68 a barrel.


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