Asian stocks were a mixed bag on Monday, with Japanese shares rebounding from prior losses despite a hawkish Bank of Japan, while Indian technology stocks slid on U.S. President Donald Trump’s crackdown against a major work visa category.
Chinese stocks lagged, while profit-taking in major internet stocks and losses in BYD weighed on Hong Kong shares.
Regional markets took some positive cues from record-high closes on Wall Street last week, as investors cheered an interest rate cut by the Federal Reserve. But this rally was seen cooling on Monday, with S&P 500 Futures down 0.1% in Asian trade.
Focus this week is on a host of key economic indicators and Fed speakers, with Chair Jerome Powell set to speak on Tuesday.
India’s Nifty 50 flat, tech slides on Trump’s H-1B order
India’s Nifty 50 index opened mildly negative on Monday, pressured chiefly by losses in major tech and outsourcing stocks.
IT majors Tech Mahindra Ltd (NSE:TEML), Tata Consultancy Services Ltd. (NSE:TCS), Infosys Ltd (NSE:INFY), and Wipro Ltd (NSE:WIPR), were the worst performers on the Nifty, losing between 2% and 4%.
The sector was rattled by Trump on Friday imposing a $100,000 annual fee on companies for issuing new H-1B worker visas.
The visa has long served as a means for Indian tech companies to rotate their skilled talent into U.S. projects. The sector is also highly dependent on the U.S. for revenue, earning nearly 60% from overseas projects.
Source : Investing.com