Global Markets:
- Asian Stock Markets : Nikkei up 0.24%, Shanghai Composite up 0.73%, Hang Seng up 3.13% ASX down 0.32%
- Commodities : Gold at $2940.35 (-0.53%), Silver at $33.35 (-0.8%), Brent Oil at $76.8 (-0.2%), WTI Oil at $72.8 (-0.3%)
- Rates : US 10-year yield at 4.486, UK 10-year yield at 4.6085, Germany 10-year yield at 2.5335
News & Data:
- (USD) Unemployment Claims 219K to 215K expected
Markets Update:
Hong Kong shares reached a three-year high on Friday, leading regional gains as investors assessed Japan’s inflation data alongside U.S. tariff concerns. The Hang Seng Index surged 2.95%, its highest since February 2022, while the Hang Seng Tech Index climbed 4.67%. Alibaba shares jumped 11% after reporting strong December quarter profits, driven by growth in its Cloud Intelligence and e-commerce divisions. Meanwhile, China’s CSI 300 gained 0.4%.
In Japan, the Nikkei 225 fell 0.43%, and the Topix slipped 0.33%. The country’s inflation rate rose to 4% in January, marking its highest level since early 2023. Core inflation, which excludes fresh food prices, climbed to 3.2%, exceeding Reuters’ forecast of 3.1%. South Korea’s Kospi dropped 0.42%, while the small-cap Kosdaq inched up 0.43%. Australia’s S&P/ASX 200 rose 0.59%.
Investors are closely monitoring the Japanese yen, which strengthened to a two-month high of 150.52 per U.S. dollar on Thursday amid expectations of further Bank of Japan rate hikes. The currency is now trading at 150.22 per dollar, reflecting continued market uncertainty.
On Wall Street, U.S. stocks pulled back after the S&P 500 hit record highs for two straight days. Investors sold off shares following a weak forecast from Walmart, raising concerns about the economic outlook. The Dow Jones Industrial Average dropped 450.94 points (-1.01%) to 44,176.65, while the S&P 500 fell 0.43% to 6,117.52, and the Nasdaq Composite declined 0.47% to 19,962.36.
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