* Hong Kong law dents optimistic mood
* Currencies in slight risk-off mode
* Australia, NZ equities hit record highs
* Asian stock markets: https://tmsnrt.rs/2zpUAr4
By Tom Westbrook
SINGAPORE, Nov 28 (Reuters) - Asian share markets wobbled on
Thursday as concerns that tensions over Hong Kong may stymie a
U.S.-China trade deal cast a pall over Thanksgiving cheer from
positive U.S. economic data.
U.S. President Donald Trump on Wednesday signed into law
legislation backing pro-democracy protesters in Hong Kong.
China's Foreign Ministry promptly warned of unspecified "firm
counter measures" in response.
That put a lid on a week of gains for MSCI's broadest index
of Asia-Pacific shares outside Japan .MIAPJ0000PUS . The
benchmark fell almost 0.1%.
Japan's Nikkei .N225 , Hong Kong's Hang Seng .HSI and
Shanghai blue chips .CSI200 flitted in and out of positive
territory, as momentum ebbed.
E-Mini futures for the S&P 500 ESc1 fell 0.3%, while
EUROSTOXX 50 futures STXEc1 fell 0.1%.
The news was shrugged off in the Antipodes, though, with
Australia's S&P/ASX 200 .AXJO and New Zealand's NZ50 .NZ50
following Wall Street's march to record highs. "I think it could easily get a lot worse," said Kay
Van-Petersen, global macro strategist at Saxo Capital Markets in
Singapore, as investors await more details on China's response.
"We could potentially see a greater chance of a move
downwards based on what happens in the next 24-48 hours."
The next round of U.S. tariffs on Chinese goods is due to
take effect on Dec. 15.
Wall Street indexes hit fresh record highs overnight, buoyed
by trade deal hopes and data showing U.S. economic growth picked
up slightly in the third quarter, rather than slowing as first
reported.
The Dow Jones Industrial Average .DJI rose 0.15%, the S&P
500 .SPX gained 0.42% and the Nasdaq .IXIC added 0.66%. U.S.
markets are closed for Thanksgiving on Thursday. .N
Other data showed the number of Americans filing claims for
jobless benefits fell. There are signs the downturn in business
investment may be drawing to a close and the U.S. Federal
Reserve said the outlook was bright.
"Concerns the U.S. economy may be turning down, to the point
where the Fed might have to resume policy easing next year, have
been somewhat assuaged," said Ray Attrill, head of FX strategy
at National Australia Bank.
"So relief all round."
HONG KONG JITTERS
Currency and commodity markets were more circumspect.
The dollar and trade-exposed currencies were spurned for
safe-havens such as the Japanese yen after Trump signed the Hong
Kong bills into law.
The laws are viewed as supportive for anti-government
protesters in the city, since they threaten sanctions for human
rights violations and seek to safeguard Hong Kong's autonomy.
But the move was denounced by China as interference in
domestic affairs.
"It's displeasing to the Chinese side," said Westpac FX
analyst Imre Speizer. "And we are getting close to the point
when this deal needs to get signed ... the market's reacting to
it as though it might put a snag in the works."
The yen JPY= rose 0.1% to 109.46 yen per dollar, while
riskier currencies such as the Australian dollar AUD= fell by
the same margin to $0.6768.
The British pound GDP= bobbed higher after a model for
pollsters YouGov, which accurately predicted the 2017 election,
said Prime Minister Boris Johnson was on course to win a fat
majority in parliament at the Dec. 12 election.
Gold was 0.1% higher at $1456.26 per ounce. GOL/
U.S. crude CLc1 dipped 0.43% to $57.86 a barrel. Brent
crude LCOc1 fell to $63.86 per barrel.