Stocks and bonds lost momentum ahead of a key US jobs report that will influence the Federal Reserve’s future actions.
Equities paused near all-time highs as traders held back from making significant moves before the data release.
Hong Kong’s Hang Seng index fell 0.6% to 18,367.73, while the Shanghai Composite index dropped 0.4% to 3,036.08.
This occurred as China’s trade data revealed that exports in May rose 7.6% year-on-year, outpacing expectations, whereas imports lagged behind market forecasts.
Japan’s benchmark Nikkei 225 dipped 0.1% to 38,661.04 following data on Friday showing a 0.5% year-on-year increase in household spending in April. This marks the first rise since February 2023, a crucial economic indicator as central bank officials prepare for next week’s policy meeting.
Australia’s S&P/ASX 200 climbed 0.4% to 7,853.40, and South Korea’s Kospi added 0.8% to 2,709.63.
The S&P 500 remained largely unchanged on Thursday after hitting its 25th record high of 2024.
US 10-year yields hovered around 4.29%. Swap markets continued to anticipate the beginning of Fed rate cuts in November, with another reduction likely in December.
The euro strengthened as the European Central Bank raised inflation forecasts following rate cuts.
Options traders are increasingly betting that Bitcoin will reach a record high by the end of the month, buoyed by optimism over US interest rate cuts and rising inflows into exchange-traded funds.
