Asian shares slip despite Wall St gains after Biden-Xi talks

Tokyo: Asian shares were mostly lower Wednesday despite a rally on Wall Street after virtual talks between President Joe Biden and China's Xi Jinping. Japan's benchmark Nikkei 225 fell 0.4 per cent to 29,688.33. South Korea's Kospi fell 1.2 per cent to 2,962.42. Australia's S& P/ASX 200 lost 0.7 per cent to 7,369.90. Hong Kong's Hang Seng fell 0.4 per cent to 25,621.91, while the Shanghai Composite edged up 0.5 per cent to 3,537.32.

The online talks between Biden and Xi late Monday US time appeared to signal a step in the right direction but they did not yield any major steps toward resolving longstanding disputes over trade and other issues. "Any concrete development from the meeting still awaits to be seen, but the amiable approach thus far in addressing issues from both parties pares down the risks of political tension in markets," said Yeap Jun Rong, market strategist at IG in Singapore.

Stocks closed higher on Wall Street as investors reviewed solid earnings reports from big retailers and a surprisingly strong report on consumer spending. The government reported that Americans largely shrugged off higher prices last month and stepped up their spending at retail stores and online. The Commerce Department said retail sales rose 1.7 per cent in October.