Asian Stocks Mixed as Earnings, Yen Strength Weigh
Asian equity markets traded within a narrow range on Friday, as investors weighed mixed corporate earnings reports and a strengthening Japanese yen.
Key Insights
* US stocks declined from record highs on Thursday after a disappointing forecast from Walmart, raising concerns about economic health.
* The Japanese yen appreciated against the dollar, surpassing 150 per dollar for the first time since December.
* Alibaba Group Holding Ltd. reported strong revenue growth, boosting Chinese stock index futures.
* Inflation in Japan accelerated more than expected in January, supporting expectations of a Bank of Japan interest rate hike.
Market Movements
* The S&P/ASX 200 index in Australia edged higher, while Japan's Topix index declined slightly.
* Hang Seng futures indicated gains in Hong Kong, following a rally in US-listed Chinese shares.
* The Bloomberg Dollar Spot Index remained stable, with the euro and Japanese yen showing little change against the greenback.
Key Developments
* Walmart's earnings report revealed concerns about consumer spending and economic uncertainty.
* Banks, including JPMorgan Chase & Co. and Goldman Sachs Group Inc., weighed on US trading.
* Treasury yields were largely unchanged in Asia after falling in New York.
* The Reserve Bank of Australia is monitoring labor market tightness as a potential indicator of economic strength.
Upcoming Events
* Eurozone manufacturing and services PMI, Friday
* US manufacturing and services PMI, existing home sales, consumer sentiment, Friday
Additional Market Data
* Spot gold traded flat
* Bitcoin rose marginally to $98,388.15
* Ether gained slightly to $2,742.35