Monday, August 11, 2025 – Asian equity markets started the week on a mixed note, with Japan’s Nikkei 225 leading regional gains while most other major indices traded lower. Currency movements across the yen and Australian dollar also shaped early sentiment, as investors weighed upcoming global economic data releases.

Japan’s Nikkei Extends Rally

The Nikkei 225 jumped +1.85% to 41,820.48 in Monday morning trade, building on last week’s momentum. The surge came as technology, automotive, and export-heavy stocks benefited from a weaker yen, which enhances the competitiveness of Japanese goods abroad.

The Japanese Yen Index slipped 0.40% to 67.70, marking its second consecutive day of declines. A softer yen often provides a boost to corporate earnings for exporters, particularly in the electronics and automotive sectors.

Australian Markets Ease as Currency Holds Steady

The S&P/ASX 200 fell 0.28% to 8,807.10, with declines seen in mining, energy, and consumer discretionary shares. Commodity prices were under mild pressure in early trading, prompting caution among investors.

The Australian Dollar Index edged higher by 0.03% to 65.21, reflecting a stable currency environment despite the weaker equity performance. Analysts note that the Aussie remains supported by expectations of steady demand from key Asian trading partners.

China and Hong Kong Trade Lower

Mainland Chinese equities were slightly weaker, with the SSE Composite Index down 0.12% at 3,635.13. Market participants are awaiting potential policy signals from Beijing, particularly around measures to stimulate domestic consumption and support the property sector.

Hong Kong’s Hang Seng fell 0.89% to 24,858.82, dragged down by technology and real estate stocks. Investor sentiment in the city remains fragile amid concerns over corporate earnings guidance and global demand headwinds.

South Korea’s KOSPI Faces Selling Pressure

The KOSPI Composite Index dropped 0.55% to 3,210.01. Losses in semiconductor manufacturers and shipbuilding companies weighed on the index, with traders cautious ahead of upcoming U.S. inflation figures that could influence global interest rate expectations.

India’s Sensex Pulls Back from Record Levels

India’s S&P BSE SENSEX declined 0.95% to 79,857.79, retreating from last week’s all-time highs. Banking, IT, and consumer goods stocks led the morning losses as investors booked profits and adopted a wait-and-see approach ahead of domestic inflation data.

Key Asian Market Moves – Monday Morning, August 11, 2025

• Nikkei 225: 41,820.48 (+1.85%)
• Australian Dollar Index: 65.21 (+0.03%)
• SSE Composite Index: 3,635.13 (-0.12%)
• S&P/ASX 200: 8,807.10 (-0.28%)
• Japanese Yen Index: 67.70 (-0.40%)
• KOSPI Composite Index: 3,210.01 (-0.55%)
• Hang Seng: 24,858.82 (-0.89%)
• S&P BSE SENSEX: 79,857.79 (-0.95%)

Investor Outlook

Today’s trading reflects a cautious mood across most of Asia as markets digest mixed corporate earnings and brace for macroeconomic data releases later this week. In particular, U.S. consumer price index (CPI) figures will be closely watched for clues on the Federal Reserve’s interest rate path.

Japan’s strong start highlights localized optimism driven by currency moves and sector-specific strength, while other Asian markets remain more defensive. Analysts suggest that further volatility is possible in the coming days, especially if U.S. and Chinese economic data surprises on the upside or downside.

For now, the Nikkei’s rally stands out as a bright spot in an otherwise subdued Asian trading session. Market participants will be monitoring whether Japan’s momentum can continue throughout the week or if broader global sentiment will weigh on gains.