(Aug 28): Asian stocks looked set for a mixed session Wednesday as investors assessed the latest in the unpredictable path of trade talks between the U.S. and China. Treasuries rose.

Futures slipped in Tokyo, were little changed in Seoul and pointed higher in Hong Kong. U.S. equities finished lower after a seesaw session as it appeared that China was bracing for the worst on the negotiations with U.S. President Donald Trump’s credibility becoming a key impediment to a deal. The 10-year Treasury yield fell below 1.50% to a three-year low and the dollar was steady against major currencies. Crude jumped on expectations of shrinking U.S. inventories.

Trump’s flip-flops on trade have left investors second-guessing the next moves as optimism of a resolution become more remote. The U.S. president’s apparent de-escalation of trade tensions at the Group-of-Seven meetings had helped ease investor nerves somewhat before Beijing questioned some of those comments.

Elsewhere, the euro fell following data showing Germany was on the brink of a recession, while the pound gained as opposition politicians stepped up efforts to prevent a no-deal Brexit.

Events to keep an eye on this week:

    The second reading of Q2 U.S. GDP Thursday is expected to refine estimates of slightly lower economic growth.
    Bank of Korea policy decision and briefing is on Friday.
    Euro-zone CPI data for August is also due Friday.

Here are the main moves in markets:
Stocks

    Nikkei 225 futures fell 0.1% in Singapore.
    Australia’s S&P/ASX 200 Index futures lost 0.2%.
    Hang Seng Index futures rose 0.4%.
    S&P 500 Index fell 0.3%.

Currencies

    The yen traded at 105.76 per dollar after increasing 0.4%.
    The offshore yuan was stable at 7.1658 per dollar.
    Bloomberg Dollar Spot Index was little changed.
    The euro was at $1.1091.
    The British held at $1.2289, the strongest in over a month, after advancing 0.6%.

Bonds

    The yield on 10-year Treasuries declined six basis points to 1.47%, a three-year low.
    The yield on two-year Treasuries fell two basis points to 1.52%.

Commodities

    Gold advanced 1% to $1,542.81 an ounce.
    West Texas Intermediate crude surged 3.8% to $55.69 a barrel. - Bloomberg