Asian markets delivered a mixed session on September 3, 2026, with investors showing selective recovery after the broad regional selloff recorded in the previous session. Gains in Japan’s currency index, Australian equities and South Korean stocks contrasted with renewed weakness in India’s benchmark and modest declines in Japan and Hong Kong.

Japan and Australia Show Signs of Stabilization

The Japanese Yen Index was the strongest reported market indicator, rising 0.94% to 63.02. The advance suggests firmer demand for the yen following its 0.25% decline in the previous session. The move also came as the Nikkei 225 remained slightly weaker, falling 0.17% to 64,214.48.

Australia’s S&P/ASX 200 gained 0.46% to 9,020.10, recovering above the 9,000 level after its 0.97% decline on September 2. The Australian Dollar Index also strengthened, rising 0.23% to 71.65, indicating a modest improvement in regional risk sentiment.

South Korea Attempts to Recover

The KOSPI Composite Index advanced 0.26% to 6,579.48, providing a limited rebound after the benchmark plunged 3.99% in the previous session. The move keeps the index above 6,500, a level that could remain important for short-term sentiment following the sharp two-session decline.

Despite the recovery, the gain was relatively small compared with the previous day’s losses. Investors may therefore continue to watch whether the KOSPI can establish support above 6,500 before attempting a broader recovery.

China and Hong Kong Remain Uneven

China’s SSE Composite Index was almost unchanged, edging 0.02% higher to 3,942.09. The muted performance followed a 0.97% decline on September 2 and leaves the benchmark below the psychologically important 4,000 level.

Hong Kong’s Hang Seng Index fell 0.39% to 25,213.31, extending its weakness after a 0.07% decline in the previous session. The index remains above 25,000, but the continued pressure suggests that investors have yet to fully regain confidence following the recent regional volatility.

India Leads Regional Losses

The S&P BSE SENSEX was the clear laggard, dropping 2.79% to 74,437.59. The decline marked a significant acceleration in selling pressure compared with its 0.49% loss on September 2.

The sharp fall in India stood out against the modest recoveries elsewhere in Asia, indicating that market weakness was increasingly concentrated rather than broad-based across the region.

Outlook

Asian markets enter the next session with sentiment still fragile following two consecutive days of volatility. The KOSPI’s ability to remain above 6,500, Australia’s return above 9,000 and the SSE Composite’s approach toward 4,000 will be important technical signals, while the Sensex’s retreat toward 74,000 could keep investor attention focused on downside risks. The yen’s move above 63.00 also warrants monitoring as currency strength could influence regional risk appetite and cross-market positioning.