Asian shares posted a lackluster open on Friday, with Australia's S&P ASX 200 index hitting its lowest level since October 21, following an uninspiring handover from offshore markets.

Traders were also likely waiting on the sidelines ahead of the Bank of Japan's (BOJ) monetary policy decision.

Major US averages finished lower overnight, with the Nasdaq Composite leading declines with a 0.4 percent fall. The blue-chip Dow Jones Industrial Average ticked down 0.1 percent, while the S&P 500 ended little changed.

Nikkei flat

Share Market Live

NSE

Japan's Nikkei 225 index flip-flopped in early trade, as investors digested the slew of monthly indicators released before the market open.

The core consumer price index, which includes oil products but excludes fresh food prices, dipped 0.1 percent in September from the year-ago period, official data showed, worse than expectations for a 0.2 percent annual gain.

Household spending for September fell 0.4 percent on-year, against Reuters' estimate for a 1.2. percent rise. Meanwhile, the jobless rate for September was unchanged from the previous month at 3.4 percent, in line with expectations.

Despite slowing inflation in the world's third-biggest economy, not all analysts expect the BOJ to step on the easing pedal.

"With the BOJ's easing options limited under the existing monetary policy framework and uncertainties rising over the timing of the Federal Reserve's lift-off, we believe the central bank has every reason to prefer a hold and preserve its bullets," a Thursday note from HSBC said.

On the corporate earnings front, Sony shed 0.4 percent despite announcing a second-quarter operating profit on the back of strong PlayStation 4videogame sales.

Baby goods makers got a lift from news of the easing of family planning restrictions in China. Pigeon jumped over 10 percent to its highest since August 20, while Kao rose 3.7 percent.

China markets lower

China's benchmark Shanghai Composite index ticked down 0.2 percent.

Among other indexes, the blue-chip CSI300 traded flat, while the Shenzhen Composite edged down 0.2 percent.

In Hong Kong, China Huarong Asset Management opened flat in its stock market debut after raising $2.3 billion in the city's largest initial public offering (IPO) in 2015. The stock traded at its IPO price of HK$3.09.

The Hang Seng index dropped 0.7 percent.

ASX drops 0.7 percent

Australian equities touched their lowest levels since October 21, with banks, miners and gold producers among the hardest-hit. The Sydney bourse was on course for its fifth straight session of losses on Friday.

Australia and New Zealand Banking slid 3.7 percent, while Westpac, Commonwealth Bank of Australia and National Australia Bank dropped between 0.6 and 1.6 percent.

Market bellwether BHP Billiton declined 1.5 percent, while Evolution Mining and Newcrest Mining tanked 3.4 and 1.9 percent respectively after prices of the precious metal hit three-week lows overnight.

Macquarie Group outperformed after unveiling a record first-half net profit. Shares of the investment bank advanced 1 percent.

Bega Cheese and Blackmores diverged following news of a joint-venture deal to produce infant formula. Shares of the former rallied more than 3 percent, while the latter slumped 9.1 percent probably on profit-taking after surging almost 30 percent in the prior trading session.

IG's market strategist Evan Lucas expects both firms to benefit from the end of China's one-child policy. "Bega Cheese and Blackmores could not have timed their strategic joint venture announcement better if they tried. The expected boom in babies in China in the next 18 months will almost perfectly coincide with the launch," the Melbourne-based analyst wrote in a note released early Friday.

Kospi flat

South Korea's Kospi index treaded water at the open.

Samsung Electronics charged up more than 2 percent, a day after rising 1.3 percent on the back of its first year-on-year profit in two years.

Other blue chips, however, kicked off trade on the back foot. Hyundai Motor and Posco fell 0.7 and 1.9 percent respectively.

On the domestic data front, industrial production rose by a seasonally adjusted 1.9 percent in September from the previous month, official data showed on Friday, gaining for a second month and far outperforming market expectations for a 0.4 percent increase.

Taiex drops 0.5 percent

Advance estimate of gross domestic product (GDP) showed Taiwan's economy contracting 1.01 percent from a year ago, worse than the 0.6 percent decline forecast in a Reuters poll. It was the first year-on-year decline in quarterly GDP since the global financial crisis in 2009.

Taiwan's weighted index notched down in early trade.

First Published:Oct 30, 2015 7:43 AM IST