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Tokyo, Japan (BBN) – Asia markets were mostly lower on Monday, following a decline in US equities last Friday on lingering concerns about American tax reform.

In Australia, the ASX 200 fell 0.25 percent to 5,942.3 by mid-day. The heavily-weighted financial subindex was down 0.5 percent, while the energy sector gained 0.6 percent, reports

Japan’s Nikkei 225 was down 0.61 percent, while the Topix index fell 0.41 percent. In South Korea, the Kospi gave up early morning gains to trade down 0.29 percent.

Chinese markets traded lower, with the Shanghai composite down 1.12 percent at 3,344.89 while the Shenzhen composite fell 1.55 percent to 1,923.90. In Hong Kong, the Hang Seng index traded fractionally lower at 29,170.82.
One focus for investors: Analysts were cautiously optimistic about the U.S. tax reform getting done this year. Treasury Secretary Steven Mnuchin told CNBC’s “Squawk Box” on Friday that he expects a Republican tax reform bill to be sent to President Donald Trump by Christmas.

Mnuchin made his comments a day after the House passed a bill aimed at overhauling the tax code. The Senate now has to vote on its version of a tax plan.
One commentator told CNBC on Monday that he was advising investors to not make any investment decisions until there was more clarity on the tax reform.
Jim Lowell, CIO at Adviser Investments, told CNBC’s “The Rundown” that the tax reform plan at the moment is more theoretical than practical. He pointed out that tax reforms also tend to have both intended and unintended consequences that are both positive and negative.
“There’ll be plenty of time to digest the plan, if it actually does turn into some mode of enactment,” Lowell said. “There’ll also be plenty of time to figure out how to maneuver as the revisions go forward. But I would definitely advise investors to not make any investment move today based on the fact that they don’t know how this tax reform plan is going to play out.”
Meanwhile, the U.S. dollar traded at 93.961 against a basket of currencies at 10:00 a.m. HK/SIN, hovering near the 94.00 level it saw in the previous week.
Among other currency majors, the Japanese yen traded at 112.02 to the dollar, while the Australian dollar fetched $0.7557.
Energy prices were in focus amid reports of heightened tension in the Middle East between Saudi Arabia and Iran, following the resignation of the Lebanese Prime Minister Saad al-Hariri and the escalation of the Yemeni conflict.
Reuters reported that Saudi Arabia and other Arab foreign ministers criticized Iran and its Lebanese Shi’ite ally Hezbollah at an emergency meeting in Cairo on Sunday. They called for a united front to counter Iranian interference.
Meanwhile, Iran exported about 4.26 million barrels of oil from South Pars to international destinations since late March, according to the Iranian Students’ News Agency.
South Pars is the world’s largest gas field that also has significant oil reserves, reported Reuters.
The Organization of the Petroleum Exporting Countries (OPEC) is also set to meet in Vienna on Nov. 30, where member states will decide if they would support an output cut deal beyond March next year.
Analysts at Singapore’s OCBC Bank said in a Monday note that they expect OPEC to “deliver at least a three to six months extension to supply cuts” that would further support oil prices.
U.S. crude traded up 0.18 percent at $56.65 a barrel, while global benchmark Brent fell 0.16 percent to $62.62.
Energy plays in Asia Pacific were mostly higher. In Australia, shares of Santos rose 1.9 percent, Woodside Petroleum was up 0.6 percent and Beach Energy was up 1.17 percent. Oil Search shares fell 0.56 percent.
In Japan, Inpex rose 0.4 percent and Japan Petroleum was up 0.58 percent.
In corporate news, Toshiba said it would raise 600 billion yen ($5.3 billion) from a sale of new shares, according to Reuters.
The company needs to raise 750 billion yen by the end of March to plug the hole in its balance sheet following the bankruptcy of its U.S. nuclear power business or it will be delisted from the Tokyo Stock Exchange, Reuters reported.
Toshiba shares were down 4.45 percent in late morning trade.