Asia markets mixed; Trump is in Japan for a state visit

In Japan, the Nikkei 225 rose 0.21% in early trade, with shares of index heavyweight Fast Retailing adding 1.07%. The Topix also gained 0.14%.

Over in South Korea, however, the Kospi declined 0.23% as shares of Samsung Electronics and LG Chem slipped.

Meanwhile, Australia’s ASX 200 traded largely flat.

In Europe, early results and projections showed greater fragmentation in the European Parliament over the next five years. This year’s vote was particularly relevant due to the surge of anti-EU and nationalist parties across the region.

Britain’s newly-formed Brexit Party looked set to comfortably beat the country’s two main parties in the European parliamentary elections, according to exit polls and early results.

Still, pro-EU parties looked to have largely held their ground in many countries.

The common currency, euro, traded at $1.1203 against the dollar Monday morning, rising from levels below $1.1130 in the previous week.

Meanwhile, U.S. President Trump is on a state visit to Japan, where he earlier said Tokyo has “had a substantial advantage” over Washington for “many, many years.”

The president said Tokyo and Washington were “getting close” to a deal that would address the U.S. trade deficit. The U.S. had a deficit of $56.8 billion in goods and services with Japan in 2018, according to the U.S. Trade Representative. Trump’s visit comes amid U.S. threats of potential auto tariffs against Japanese and European carmakers.

“There has been nothing but bonhomie between President Trump, currently in Japan, and Japan prime Minister (Shinzo) Abe, ” Ray Attrill, head of foreign exchange strategy at National Australia Bank, wrote in a morning note.

“The trade rhetoric sound(s) all warm and fuzzy, but there is no expectation a comprehensive trade deal will be struck anytime soon,” he said.

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 97.594 after slipping from levels above 98.1 last week.

The Japanese yen traded at 109.42 against the dollar after touching levels above 110.4 in the previous trading week. The Australian dollar changed hands at $0.6926 after seeing lows below $0.688 last week.

Oil prices rose in the morning of Asian trading hours, as the international benchmark Brent crude futures contract added 0.54% to $69.06 per barrel, while U.S. crude futures gained fractionally to $58.67 per barrel.

— CNBC’s Spencer Kimball, Sam Meredith and Matt Clinch contributed to this report.