Asian stocks trade mixed, Nikkei 225 back in the red

The Asian stock markets staged a rebound this Thursday, after having posted the worst decline in five weeks. However, the recovery was short-lived as sentiment soured after the Japanese stocks turned negative on the back of a sudden rally seen in the yen, following BOJ deputy governor Iwata’s comments.

Moreover, worse-than expected Australian retail sales data also dampened the investors’ sentiment capping the upside in the Australian equities. The Aus retail trade data came in at 0.1% m/m in June versus +0.3% expected and +0.2% last.

Furthermore, increased nervousness prevalent in the markets, as we head towards the BOE interest rate decision due later in the European session, also keeps the upside in check.

Meanwhile, the Japanese benchmark index, the Nikkei 225 drops -0.46% to 16,011. The Australian markets pare gains, with the S&P/ASX 200 now trading +0.32% higher at 5,485 points.

The Chinese equities inch lower, with the benchmark Shanghai Composite index down -0.42% around 2,965; the CSI300 index loses -0.51%. While Hong Kong markets trade +0.32%  higher at 21,800 levels.