* Markets on edge, await signs of Sino-U.S. trade
breakthrough
* Japan's Nikkei, Australian shares head lower
* Currencies becalmed, awaiting concrete news
By Tom Westbrook
SINGAPORE, Nov 19 (Reuters) - Asian shares started Tuesday
softer as another day awaiting clearer news on the progress of
U.S-China trade negotiations weighed on jaded investors'
sentiment.
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS fell 0.1%.
Japan's Nikkei .N225 was 0.2% lower in early trade.
Australia's S&P/ASX 200 index .AXJO was flat and trading
volumes were light. E-Mini futures for the S&P 500 ESc1 fell
0.05%, although that followed another record-high close on Wall
St on Monday. .N
Overnight, CNBC reported the mood in Beijing was pessimistic
about the prospects of sealing an agreement.
On the other hand, a new extension allowing U.S. companies
to continue doing business with Chinese telecoms giant Huawei
Technologies Co Ltd HWT.UL suggested something of an olive
branch, though neither morsel shed much light on progress in
negotiations.
"We're still waiting," said Michael McCarthy, chief market
strategist at brokerage CMC Markets in Sydney.
"The longer we go on, the more concerns will arise. The
reality is the clock is ticking...increasing uncertainty is
adding to investor nervousness."
The next deadline in the dispute - which has harmed global
growth - is Dec. 15, when another round of U.S. tariffs on
Chinese good is scheduled to take effect.
Optimism that an agreement could be struck before then is
still holding, but it is beginning to run out of puff.
Wall Street's main indexes were mostly flat, looking for
direction on trade, though they ended the day inching higher to
record high closing levels.
The Dow Jones Industrial Average .DJI rose 31.33 points,
or 0.1%, to 28,036.22. The S&P 500 .SPX gained 1.57 points, or
0.05%, to 3,122.03 and the Nasdaq Composite . IXIC added 9.11
points, or 0.1%, to 8,549.94.
The pan-European STOXX 600 index .STOXX closed down 0.01%,
while the FTSEurofirst 300 index .FTEU3 of leading regional
shares fell 0.04%.
The yield on benchmark 10-year Treasury notes US10YT=RR
fell overnight and steadied at 1.8152% in Asia.
WAITING GAME
Currency markets were becalmed and trading was light.
Uncertainty on the trade front dented the dollar a little bit
overnight, though most currencies kept to tight ranges awaiting
more concrete news.
The greenback was steady against the Japanese yen JPY= in
early trade at 108.67 yen and a touch stronger against the
Australian and New Zealand dollars at $0.6805 AUD= and $0.6394
NZD= respectively.
The biggest mover overnight was the British pound GBP=
which headed towards $1.30 as four polls showed Prime Minister
Boris Johnson's Conservative Party tracking toward victory at
the Dec. 12 election.
Sterling hit a one-month high of $1.2984 overnight, before
retreating a little in early Asian trade to settle around
$1.2950.
Market attention will be focused on the release of minutes
from the Reserve Bank of Australia's November meeting at 0030
GMT, which will be scoured for signals as to whether the central
bank will cut rates below an already record low 0.75%.
"The minutes are likely to show that the board members are
wary of the downside of lowering interest rates further," said
Joe Capurso, FX analyst at Commonwealth Bank in Sydney.
"If you get that issue pop up again in the minutes, the
Aussie could rise...It'd make the hurdle for a rate cut higher."
Spot gold XAU= , which has been closely tracking the
fortunes of the Sino-U.S. trade dispute was flat at $1,470.30
per ounce.
Brent crude LCOc1 futures fell 1.6% to $62.29 a barrel
while U.S. West Texas Intermediate (WTI) crude CLc1 lost 0.23%
to $56.92 per barrel.
Asia stock markets https://tmsnrt.rs/2zpUAr4
Asia-Pacific valuations https://tmsnrt.rs/2Dr2BQA
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