Asian shares fall as data, earnings show pandemic fallout

TOKYO (AP) — Shares were mostly lower in Asia on Friday as data and corporate earnings capture dismal portrayals of the coronavirus pandemic’s impact on world economies.

Market players are monitoring financial reports to see how businesses have managed the fallout from the continued outbreaks of COVID-19. Some technology companies have bucked the trend and are showing positive results. But many companies are hurting.

Investors also are looking ahead to central bank meetings in Britain, Australia, India, Russia and Thailand next week. On Wall Street, the S&P 500 and Dow Jones Industrial Average fell, but the Nasdaq composite gained.

Japan's benchmark Nikkei 225 dropped 2.8% to 21,710.00, while South Korea's Kospi slipped 0.6% to 2,253.95. Australia's S&P/ASX 200 sank 2.0% to 5,927.80. Hong Kong's Hang Seng dipped less than 0.1% to 24,698.39, while the Shanghai Composite recouped earlier losses to gain nearly 0.6%, at 3,306.23.

August tends to be a lousy month for stocks, noted Stephen Innes of AxiTrader Corp.

“Stock markets are looking extraordinarily corrective to the extent that we could be entering a pullback phase as we head into August, most commonly referred to as the summer swoon," Innes said in a commentary.

In one positive signal, China reported its manufacturing activity edged up in July and export orders strengthened despite weak U.S. and European demand. The monthly survey released Friday was another sign the world’s second-largest economy is gradually recovering from the coronavirus pandemic.

France reported that its economy contracted 13.8% in the April-June quarter, a bit better than expected.

Central bank meetings for various countries are on the agenda for the coming week.

“Second quarter GDP for Indonesia and the Philippines will...