Asia markets fall as China stocks set for bull run on return from holiday

Stocks in the Asia-Pacific traded mostly lower on Monday ahead of mainland Chinese markets resuming trade after a week-long New Year break.

Chinese onshore equities are poised to enter a bull market — the CSI 300, which tracks the largest mainland-listed stocks, having gained more than 19% from its recent lows seen at the end of October last year.

In Japan, the Nikkei 225 fell 0.08% and the Topix also lost 0.06%. South Korea’s Kospi was just above the flatline while the Kosdaq rose 0.61%.

The S&P/ASX 200 in Australia shed 0.1% in its first hour of trade. Investors also digested trade data from New Zealand.

Stocks on Wall Street ended the week last Friday higher, fueled by gains in Tesla shares and a better-than-expected GDP report on Thursday. All major averages posted a positive week and are on pace for a month of gains.

— CNBC’s Samantha Subin, Carmen Reinicke contributed to this report