Asian shares mixed as virus worries counter recovery hopes

TOKYO (AP) — Asian shares were mixed Wednesday as market players waffled between hopes for recovery as economies gradually reopen and worries over the havoc wreaked by the pandemic.

Japan's benchmark Nikkei 225 rose 0.8% to finish at 20,595.15 on expectations that a state of emergency still in effect for Tokyo and seven other cities and prefectures may soon end. South Korea's Kospi gained 0.5% to 1,989.57. and Australia's S&P/ASX 200 rose 0.2% to 5,573.00. But Hong Kong's Hang Seng slipped nearly 0.1% to 24,366.81. The Shanghai Composite fell 0.7% to 2,878.36.

Japan's state of emergency, which asked people to stay home but was not a lockdown, was recently lifted in the rest of the nation, with social distancing restrictions.

Yoshimasa Maruyama, chief economist at SMBC Nikko Securities, said the lifting of the emergency could come as soon as later this month. But the hardest hit sectors, such as tourism and restaurants, are unlikely to recover for some time, he said.

“It remains unclear whether there will be another surge in coronavirus cases, but if medical care systems can be maintained, a gradual return to normal economic activity can also be expected,” he said.

Japanese electronics and entertainment company Sony Corp. stock gained at the opening, following its announcement after markets closed Tuesday that it was making its financial services unit a wholly owned subsidiary. But worries took over and the stock lost 2.3% on Wednesday.

Strong data for Japanese machinery orders also helped lift spirits.

Wall Street stocks ended broadly lower, as trading turned wobbly a day after the market notched its biggest jump in more than five weeks on optimism about the vaccine from Massachusetts-based Moderna Inc.

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