With most of the markets in the region close for Lunar New Year holiday, the mood is quite cautious in the Asian region despite a positive lead from Wall Street. Buying interest is quite subdued in the Asian markets with Japanese Nikkei reversing all its gains was trading in the red despite reporting some strong earnings. On the economic front, industrial output in Japan added a seasonally adjusted 1.1 percent in December compared to the previous month. That missed forecasts for an increase of 1.3 percent following the 0.1 percent contraction in November. Meanwhile, overall nationwide consumer prices in Japan were up 1.6 percent on year in December, exceeding forecasts for an increase of 1.5 percent, which would have been unchanged from the previous month.
Nikkei 225 was down by 125.84 points or 0.84% to 14,881.22.
Markets in Hong Kong, Shanghai, Taiwan, Singapore, Malaysia, South Korea and Indonesia are all closed for Lunar New Year holiday.