Asia markets mixed mirroring losses on Wall Street; traders assess economic data from Japan, India

Asia-Pacific markets trade mostly lower on Friday, mirroring losses on Wall Street overnight, as investors awaited the critical US jobs report. Traders in Asia assessed household spending data out of Japan and India rate decision. Meanwhile political ructions in South Korea weighed on sentiment. Japan ( NKY:IND ) fell -0.80% to below 39,200 while the broader Topix Index lost 0.4% to 2,730 on Friday, paring gains from earlier in the week. The Japanese yen stabilized around 150 per dollar on Friday after data revealed that inflation-adjusted real wages in Japan were unchanged in October compared to the previous year. Nominal wages in Japan rose by 2.6% year-on-year in October 2024, marking the slowest growth since May, in line with market expectations. Japan’s household spending fell by 1.3% y/y in October 2024, compared to a 1.1% decline in the previous month. Japan’s leading economic indicators index, which gauges the economic outlook for the coming months based on data such as job offers and consumer sentiment, declined to 108.6 in October 2024 from a downwardly revised 108.9 in the previous month, below market forecasts of 108.9, preliminary estimates showed. The index of coincident economic indicators in Japan, which includes data such as factory output, employment, and retail sales, rose to 116.5 in October 2024 from a final 114.0 in the previous month, preliminary data showed. Japan’s foreign reserves increased by $49 million, reaching a total of $1.24 trillion in November 2024. China ( SHCOMP ) rose +1.15% to surpass 3,400, while the Shenzhen Component rallied 1.5% to 10,790 on Friday, extending recent gains amid expectations that Chinese authorities will introduce additional policy support measures during key political meetings this month. Meanwhile, investors are closely monitoring upcoming key domestic releases, including trade figures due later this week and inflation data expected next week. Hong Kong ( HSI ) rose +1.82% to 19,789 in early trade on Friday, bouncing back from a weak session, buoyed by hopes of positive outcomes from the upcoming central economic working forum and Politburo meeting in China. India ( SENSEX ) fell -0.04% to 81,853 in early trade on Friday, gaining for the sixth consecutive session and hitting its highest level in seven weeks, after the RBI kept its benchmark policy repo at 6.5% while unexpectedly cutting CRR to 4.0%. Australia ( AS51 ) fell -0.64% to close at 8,421 on Friday, wiping out gains from the previous session. The South Korean won ( USD:KRW ) weakened around 1,420 per dollar, hovering close to its lowest level in over two years, as sentiment remained on edge amid rising political instability. President Yoon Suk Yeol is set for an impeachment vote on Saturday following his failed martial law attempt, but his ruling People Power Party has pledged to oppose the motion despite internal divisions. South Korea recorded a current account surplus for the sixth straight month, reaching $9.78 billion in October 2024, driven by strong exports. In the U.S., on Wednesday, all three major indexes ended lower, retreating from records as investors tread cautiously ahead of Friday’s pivotal jobs report. U.S. stock futures held steady on Friday: Dow -0.01%; S&P 500 +0.01%; Nasdaq +0.06%. Investor anticipates the release of the US jobs report later today for clues to the Fed interest rate decision this month. Currencies: ( JPY:USD ), ( CNY:USD ), ( AUD:USD ), ( INR:USD ), ( HKD:USD ), ( NZD:USD ). More on Asia: Australia reports largest trade surplus in eight months for Oct, driven by rebound in exports Japan services PMI revised higher to 50.5 in November amid growth in new orders China’s services PMI fall in November from October’s three-month high, misses expectations Australia’s economy grows at weaker-than-expected pace in Q3; services activity remains in expansion South Korea to infuse additional capital to stabilize markets

Source: Seeking Alpha