Investing.com - Stocks in Australia climbed Tuesday as the central bank kept rates steady at a record low 2.5%, while Japan was steady despite a cut in the country's sovereign debt rating a day earlier by Moody's Investors Service.
The S&P/ASX 200 was up 1.4% at 5282.20, supported by a recovery in the energy sector. Australia's benchmark index has been one of the worst performing in Asia Pacific in the past month, with an over 5% loss. Only Vietnam's significantly smaller stock market has performed worse, declining 5.5% in the same period.
But on Tuesday, Australia rebounded from a 3.6% loss in the last two trading sessions, when Qantas Airways Ltd (ASX:QAN) was up 1.4%, and toll road operator Transurban Group (ASX:TCL) was up 1.9%.
In Japan, stocks were slightly lower after Moody's late Monday downgraded the country's credit rating, citing uncertainty that the country will be able to meet its fiscal goals and expand its economy.
Losses were limited by the stimulus announced at the end of October by the Bank of Japan. The Nikkei 225 was last off 0.1% at 17580.03, just points away from its seven-year high of 17590.10 on Monday.
Sony Corp Ord (TOKYO:6758) and Nintendo Co (OTC:NTDOY) were down 1.0% and 1.2% respectively, following a disappointing Black Friday weekend in the U.S. Retail sales missed expectations over the Thanksgiving weekend.
Elsewhere, the Shanghai Composite Index and Hong Kong's Hang Seng Index were each down 0.2%.
Overnight, U.S. stocks fell on Thursday after data revealed U.S. manufacturing activity grew less than expected in November, while concerns that holiday sales may come in flatter than once hoped pushed share prices down as well.
The Dow 30 fell 0.29%, the S&P 500 index S&P 500 index fell 0.68%, while the Nasdaq Composite Index fell 1.34%.
U.K.-based Markit Economics reported earlier that U.S. manufacturing activity in November expanded at its slowest pace since January, as new export orders fell.
The Markit U.S. manufacturing purchasing managers’ index ticked down to 54.8 in November from 55.9 in October. Economists had forecast a decline to 55.0.
Meanwhile in the U.S., the Institute of Supply Management reported earlier that its manufacturing PMI dipped to 58.7 from 59.0 in October, though still better than expectations of 57.9, stocks fell anyway as investors sold and jumped to the sidelines to await fresh signs U.S. recovery continues to gain steam.
Elsewhere, concerns that Black Friday sales came in soft ruffled feathers on Wall Street as well.
Black Friday, which follows the U.S. Thanksgiving holiday, typically sees heavy shopping demand at retail outlets, though uncertainty whether disappointments here and there may reflect more online shopping taking place elsewhere kept investors at bay on Monday.