Tokyo's main index closes near flat levels, retreating from seven-week highs
Asian stocks were mostly buoyed by a solid performance in US stocks overnight but that failed to inspire Japanese stocks in a sluggish session for the Nikkei. Trading volume was rather light with most markets closed in observance of the Lunar New Year break.
But the standout performer was Australian bank stocks as the 'big four' surged following a relief after the recommendations made by the Royal Commission yesterday were seen to be not as harsh as they could be. Eamonn had more on that earlier here.
That said, risk sentiment remains rather flat on the day still as markets continue to search for direction once again. USD/JPY continues to trade near the 110.00 handle but is lacking significant conviction to break higher.
As mentioned yesterday, it'll likely take a significant breakthrough in trade talks between US and China for the figure level to be breached at this point. Either that, or equities will need a solid risk-on rally that is sustainable but both things are pretty much hand-in-hand right now.
