Asia-Pacific markets trade lower; China keeps LPR steady

Hong Kong moves: Reopening and tech stocks fall as China reports Covid-related deaths

Japan trading houses rise as Berkshire Hathaway reportedly boosts stake

Shares of several Japanese trading houses rose early in the Asia session, despite retreats in the region’s markets, after billionaire Warren Buffett’s Berkshire Hathaway boosted its stake in the firms, according to individual regulatory filings.

Berkshire raised its stake by more than 1 percentage point in Mitsubishi, Mitsui & Co, Itochu, Marubeni And Sumitomo To hold over 6% in each of the firms, the filings showed.

Japan-listed shares of Mitsubishi rose 1.89% in the morning session, Marubeni rose 2.12% and Sumitomo rose more than 1%. Itochu was also up 0.84% ​​and Mitsui was 0.16% higher.

This comes days after Berkshire Hathaway disclosed that it increased its holdings of Taiwan Semiconductor Manufacturing Company’s American depository receipts, causing Taiwan-listed shares of the company to soar more than 10% in the Asia session.

– Jihye Lee

China keeps its loan prime rates on hold as expected

South Korea saw exports fall further in the first 20 days of November

South Korea’s exports for the first 20 days of November fell 16.7% on an annualized basis, with demand from China lagging, according to data from the customs agency.

The decline in exports is a sharp drop from the 5.5% fall seen in October compared to the same period a year ago.

Imports also dropped 5.5% for the first 20 days of November, resulting in a slight improvement in the trade deficit – $4.4 billion for the period, compared to a deficit of $4.9 billion reported in October.

The country has recorded a total of $ 40 billion in trade deficit year-to-date, statistics from the agency showed.

– Jihye Lee

CNBC Pro: Morgan Stanley’s Mike Wilson predicts S&P 500’s bottom, calls it a ‘tremendous buying opportunity’

China is expected to keep its benchmark lending rates steady, a Reuters poll says

China’s central bank is expected to keep its one-year and five-year loan prime rates on hold, according to analysts polled by Reuters.

The one-year rate is currently 3.65%, and the five-year LPR is 4.3%.

The People’s Bank of China last cut both rates in August.

China’s offshore yuan was weaker at 7.1376 against the US dollar.

– Abigail Ng

CNBC Pro: Strategist Says Chinese Tech Stocks Like Alibaba Are ‘Deeply Undervalued’

This year’s 30% decline in the value of Chinese big tech stocks, such as AlibabaHas made them “incredibly cheap,” according to investment bank China Renaissance.

Its head of equities, Andrew Maynard, not only believes the stock market has bottomed, but also that investors could miss out on a rally if they remain underweight on China.

Also Read :  Stocks Resume Rally With Slower Rate-Hike Bets: Markets Wrap

“Without a shadow of a doubt, being underweight China will cost you going forward,” Maynard said.

CNBC Pro subscribers can read more here.

– Ganesh Rao

Markets are watching for more clues on Fed hikes and the economy in the week ahead

Investors may be a little more cautious in the week ahead, with stocks looking for direction in quiet trading and the bond market’s warnings about recession getting louder.

The Thanksgiving holiday on Thursday should mean that markets will likely be quiet on Wednesday and Friday. Traders will monitor reports on Black Friday holiday shopping for consumer feedback.

“It’s really a week where data dependency is the key phrase,” said Julian Emanuel, senior managing director of Evercore ISI. “The prejudice [for stocks] is higher, unless the data continues to deteriorate and the Fed stays on its hawkish veil … which has clearly strengthened in the last 48 hours.”

Check out our full deep dive on what to expect in the week ahead here.

– Patti Damm, Tanaya Macheel

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