Asian stock markets delivered mixed performance on Tuesday in thin holiday trading. Japanese shares extended recent losses after weaker-than-expected economic growth data, while Australian equities were supported by strong gains in mining heavyweight BHP.
Markets in China, Hong Kong, South Korea, and Singapore remained closed for the Lunar New Year holiday. A public holiday on Wall Street on Monday also left regional investors with limited direction. Meanwhile, S&P 500 futures declined 0.4% in Asian hours, as traders positioned ahead of a series of key U.S. economic releases due later this week.
Japan extends losses after weak GDP data
Japan’s Nikkei 225 and TOPIX indexes both fell 0.9%, building on sharp losses from the previous session after disappointing fourth-quarter GDP figures. The data showed that economic growth slowed more than expected, reinforcing concerns about the strength of Japan’s recovery.
Technology stocks came under renewed pressure amid ongoing worries about the impact of artificial intelligence on the sector. Software companies have faced heavy selling in recent sessions, and the trend continued on Tuesday.
SoftBank Group Corp. declined nearly 5%, ranking among the worst performers on the Nikkei. Industrial names such as Kawasaki Heavy Industries and Hitachi also moved lower.
The weak GDP reading suggested that stimulus measures introduced in late 2025 delivered limited support to the economy. As a result, expectations are rising that Prime Minister Sanae Takaichi may need to implement additional policies to sustain growth.
Australia climbs on strong BHP earnings
In contrast, Australia’s ASX 200 index gained 0.3%, driven primarily by a sharp rally in BHP Group. The mining giant reported solid first-half earnings, pushing its shares nearly 7% higher to a record level.
BHP benefited from a late-2025 surge in copper prices and record iron ore production, which strengthened its revenue performance. The company’s gains helped offset weakness in other sectors and provided meaningful support to the broader Australian market.
Elsewhere, most Asian exchanges remained closed. Futures for India’s Nifty 50 index fell 0.2%, indicating continued pressure on domestic equities. Large-cap software firms such as Infosys and Tata Consultancy Services have faced selling pressure amid concerns that artificial intelligence agents could erode market share within the technology services industry.
Overall, regional markets reflected a cautious tone, shaped by weak Japanese growth data, selective strength in Australian mining stocks, and anticipation of upcoming U.S. economic indicators.
