Asia markets in red tracking selloff on Wall Street ahead of key US jobs report; oil soars

Japan (NKY:IND) -1.96%. Household spending in Japan dropped in real terms by 0.5% year over year in February 2024, less than market forecasts of a 3.0% fall and much softer than a 6.3% decline in the prior month.

China (SHCOMP) market closed.

Hong Kong (HSI) +0.05%. The S&P Global Hong Kong SAR PMI rose to 50.9 in March 2024 from February’s four-month low of 49.7.

India (SENSEX) -0.03%. The Reserve Bank of India held its benchmark policy repo at 6.5% for the seventh consecutive meeting in April 2024, as widely expected amid persistent price pressures.

Australia (AS51) -0.56%. Investors assessed data showing Australia posted the smallest trade surplus in five months in February as exports of iron ore fell while imports grew.

Retail sales in Australia increased by 0.3% month-over-month in February 2024, matching preliminary estimates while slowing sharply from a 1.1% growth in the prior month.

Caution lingered amid rising oil prices; WTI crude futures held near $86.59 per barrel on Friday. Brent crude prices also set a new six-month high of $91.18. The rally has been driven by tensions in the Middle East, which continue to mount.

In the U.S. on Thursday, all three major indexes ended sharply in the red after remarks from US Fed officials indicated that interest rates could not be cut this year should cost pressure persist.

In the latest commentary, Minneapolis Fed President Neel Kashkari said on Thursday that if inflation continues to stall, no rate cuts may be required this year.

U.S. stock futures steadied on Friday after the major averages staged a dramatic reversal during Thursday’s regular session: Dow +0.16%; S&P 500 +0.26%; Nasdaq +0.30%.

Traders now look ahead to Friday’s jobs data as well as incoming inflation readings in the US next week that could influence the Fed’s decision in May and June.

Currencies: (JPY:USD), (CNY:USD), (AUD:USD), (INR:USD), (HKD:USD), (NZD:USD).

More on Asia

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