[MARKET ANALYSIS] Asia-Pac stocks are mostly higher amid tech strength and after relatively quiet weekend of developments

APAC Stocks: Mostly Positive

Asia-Pac stocks begin the new month predominantly in the green with the Nikkei 225 and KOSPI extending on fresh record highs amid tech-related strength and following a lack of any major geopolitical developments over the weekend, with a US-Iran peace agreement remaining elusive, while participants also get to digest mixed Chinese PMI data.

ASX 200: -0.2%

Trades rangebound with demand constrained as the strength in tech and miners is offset by underperformance in defensives, telecoms and real estate.

Nikkei 225: +0.8%

Rose to a fresh record high and briefly surpassed the 67,000 level for the first time amid tech strength, which saw SoftBank overtake Toyota as the largest Japanese company by market cap.

KOSPI +4.3%

Outperforms with index heavyweight Samsung Electronics rallying around 10% amid the tech momentum, while an industry report noted that the Co. surpassed Micron to become the world’s leading supplier of automotive memory chips last year.

Hang Seng & Shanghai Comp: Hang Seng +0.7% / Shanghai Comp -0.1%

Chinese markets are varied, with the mainland indecisive following mixed Chinese PMI data in which official Manufacturing PMI missed forecasts, but Non-Manufacturing PMI showed a surprise return to expansion territory, while RatingDog Manufacturing PMI topped forecasts. In addition, trade frictions linger as China vowed to resolutely retaliate if the EU proceeds with new restrictive trade measures, while the State Council announced that new rules tightening the oversight of outbound investments in selected technologies will take effect on July 1st.

US Equity Futures: Slightly positive

Gradually edged higher following a muted open in the aftermath of relatively quiet weekend newsflow.

European Equity Futures -0.3%

Indicate a lower cash market open with Euro Stoxx 50 futures down 0.3% after the cash market closed with losses of 0.1% on Friday.