Asian markets were mostly open on Friday after data showing a still strong US economy raised fresh concerns about inflation and dampened optimism that the Federal Reserve would cut interest rates as expected this year. It fell.
Stocks around the world soared on Thursday after central banks’ closely watched dotplot forecasts to cut borrowing costs three times this year, even as data showed prices were rising in January and February. .
News that central banks in Switzerland and Mexico have begun cutting interest rates reinforced the feeling that policymakers are preparing to reverse tightening measures.
All three major U.S. indexes hit record highs for the second day in a row, led by gains in tech stocks as traders pondered the end of two decades of high interest rates.
However, Asia is poised to maintain momentum as a flurry of data reminded investors that the world’s No. 1 economy remains in poor health and is resilient to tightening credit conditions. I had a hard time.
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U.S. existing home sales last month slumped as buyers grew accustomed to higher borrowing costs, industry data showed, and initial claims for unemployment benefits stagnated near historic lows as the labor market slowed. The view that Japan is in a recession is becoming stronger. It’s still tight.
Meanwhile, the Purchasing Managers’ Index, which measures manufacturing activity, recovered faster than expected.
“This could result in the Fed cutting interest rates more slowly than the market expected,” warned Stephen Innes of SPI Asset Management.
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National Australia Bank’s Rodrigo Catril said: “The headline index of prices calculated by manufacturers and service providers has risen to its highest level in almost a year on the back of continued wage increases and rising fuel costs, suggesting that inflation is slowing. It suggests that he is stubborn.”
In early trading, most Asian markets were in the red.
Hong Kong fell 2%, Shanghai fell more than 1%, and Sydney, Singapore, Seoul, Taipei, Manila and Jakarta also fell.
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However, Tokyo and Wellington rose.
The yen edged higher after the release of figures showing Japan’s inflation rate rose 2.8%, as debate over whether the country’s central bank will raise interest rates further following this week’s hike, the first in 17 years. It happened.
The currency fell on Tuesday after Bank of Japan Governor Kazuo Ueda warned that officials would take time to shift from a long-term negative interest rate policy.
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Tokyo – Nikkei Stock Average: up 0.1% to 40,844.53 (break)
Hong Kong Hang Seng Index: down 2.0% to 16,518.81
Shanghai – Overall: down 1.2% to 3,040.81
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Dollar/JPY: down to 151.58 yen from Thursday’s 151.65 yen
EUR/USD: fell from $1.0861 to $1.0848
GBP/USD: down from $1.2653 to $1.2647
EUR/GBP: down from 85.82p to 85.76p
West Texas Intermediate: down 0.6% to $80.57 per barrel
North Sea Brent crude oil: down 0.6% to $85.26 per barrel
New York – Dow: up 0.7% to 39,781.37 (close)
London – FTSE 100: up 1.9% to 7,882.55 (close)
Dan/Sko
