Chachamaru
Asia-Pacific stocks were mixed on Friday following a sharp sell-off on Wall Street overnight as investors cautiously waited for comments from Federal Reserve Chairman Powell in Jackson Hole. Markets also reacted to Ueda's hawkish comments and digested data that Japan's core inflation accelerated for a third straight month to 2.7% in July, supporting the Bank of Japan's hawkish shift this year.
Japan (NKY:IND), +0.55%. The Nikkei average was little changed on Friday, turning from flat to slightly higher at the open. The Japanese yen rose above 146 to the dollar after Bank of Japan Governor Kazuo Ueda said in parliament that the central bank could adjust monetary policy if economic forecasts come true, and indicated a willingness to raise interest rates again if growth remains strong and inflation remains high.
Investors also digested data showing that Japan's core inflation accelerated for a third straight month to 2.7% in July, confirming the Bank of Japan's more hawkish policy shift this year. Headline inflation was stable for a third straight month at 2.8%.
China (SHCOMP), -0.07%. The Shanghai Composite Index fell on Friday on market concerns about China's economic outlook. Ongoing geopolitical and trade tensions between China and other major economies are also putting downward pressure on local stocks.
HONG KONG (HSI), -0.46%. Hong Kong stocks fell at the open on Friday, reversing a stronger session the previous day as trade tensions between China and the EU, particularly over electric vehicle and dairy imports, made traders reluctant to add to riskier assets.
Alibaba Group shareholders reportedly approved plans on Aug. 28 to upgrade its Hong Kong listing to primary, allowing the e-commerce giant to join a program linking Chinese stock exchanges with Hong Kong's.
India (SENSEX), +0.04% – Indian shares rose at the open on Friday as traders digested Thursday's minutes that showed the Reserve Bank of India (RBI) reaffirmed its commitment to contain inflation while supporting GDP growth amid the challenge of balancing price pressures with supporting economic growth.
Australia (AS51) -0.16%. The S&P/ASX 200 Index fell on Friday, ending a 10-day winning streak, with technology and commodity stocks leading the decline.
Singapore's annual inflation rate for July 2024 was 2.4%, unchanged for the second consecutive month, but below market expectations of 2.5%.
In the United States, all three major stock indexes closed lower on Thursday ahead of Federal Reserve Chairman Jerome Powell's Jackson Hole speech later in the day.
U.S. stock futures were steady on Friday after the major averages fell sharply in the previous trading day, with the Dow +0.31%, the S&P 500 +0.43% and the Nasdaq +0.58%.
Bitcoin has maintained its recent gains above $60,000 and is climbing towards a three-week high, benefiting from a decline in the dollar and Treasury yields.
Currency: (JPY:USD), (CNY:USD), (AUD:USD), (INR:USD), (HKD:USD), (NZD:USD).
