SYDNEY (Reuters) - Asian share markets drifted lower on Monday while currencies kept to familiar ranges ahead of a busy week peppered with central bank meetings, corporate results and updates on U.S. inflation and payrolls.
FILE PHOTO: Pedestrians are reflected in a money changer's screen in Kuala Lumpur, Malaysia, August 21, 2015. REUTERS/Olivia Harris/File Photo
Technology and energy shares led Japan's Nikkei .N225 down 0.4 percent in early trade, while tech also featured in South Korea's .KS11 0.2 percent decline.
MSCI’s broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS eased 0.03 percent.
The week ahead features quarterly earnings from more than 140 S&P 500 companies, including Apple Inc (AAPL.O).
Disappointing results from Intel Corp (INTC.O) and Twitter Inc (TWTR.N) soured the mood on the Nasdaq .IXIC on Friday, though the S&P 500 <.SPX) and Dow .DJI still ended firmer for the week.
Analysts at JPMorgan cited relatively aggressive moves into “value” stocks - in particular banks - and away from shares particularly leveraged to growth.
“Tech really began cracking on Tuesday before the floodgates opened on Friday,” they wrote in a note.
“The rotation will likely continue, benefiting value categories at the expense of momentum/tech as rates are biased higher,” they added. “Europe’s higher weighting to banks/resource will help it vs the U.S.”
CENTRAL BANK WATCH
The U.S. Federal Reserve meets on Tuesday and Wednesday and is widely expected to stand pat while reaffirming the outlook for further gradual rate rises.
The market is almost fully priced for a hike in September and leaning
