Mixed moods dominated the Asian markets

Most Asian indices reported a positive final session in 2018. ASX200 rose by about 0.7%, with almost all sectors reporting growth.

Markets in Japan, South Korea and mainland China remained closed.

The Hang Seng index grew by more than 1.1% in Asian trade.

We saw data on production activity in China in December. It seems we have a contraction in activity. The official PMI index was 49.4 lower than 49.9. In November, production PMI was 50. A value above 50 means we have an economic expansion of less than 50 means we are seeing weakening the economy.

The official non-production PMI was 53.8, which is higher than November - 53.4. With regard to the trade war, President Trump announced on Twitter that a "long and productive conversation" took place between him and Xi Jinping. Trump, in his post, also mentions that "negotiations on the deal are moving very well".

In the FX markets, the dollar traded at 96.41, slightly lower than the 97-year highs. The Japanese yen traded at around 110.43 after reaching bottom at 111.3. The Australian dollar remained at levels around 0.7054 during the Asian session.

Source: CNBC

Read more:

• Risk off after the escalation in the Middle East, markets are recovering in a period of calm
• The macroeconomic events for today’s trading calendar
• The US government has confirmed the attacks, Trump is calling an emergency staff meeting
• Has the war between Iran and the US started?
• US markets remain under pressure, traders await Iran’s response