· Asian stocks under pressure as inflation worries haunt tech firms
Most Asian stocks fell on Friday, dragged by the technology sector as signs of a firming U.S. economy stoked worries about higher inflation and an earlier withdrawal of Federal Reserve stimulus.
U.S. Treasury yields remained elevated after jumping overnight, while the dollar also held its biggest gain since April, after better-than-expected employment data raised expectations for a strong reading for Friday’s nonfarm payrolls, while a measure of service sector activity climbed to a record high.
· Japan shares end mixed as growth stocks drag ahead of U.S. jobs data
Japanese shares ended on a mixed note on Friday, weighed down by growth shares, as investors awaited a key U.S. payroll report that could intensify worries over inflation and taper talks from the Federal Reserve.
The Nikkei average ended 0.40% lower at 28,941.52 after two days of gains, while the broader Topix managed to close 0.03% higher at 1,959.19, its fourth straight day of gains.
· China stocks end higher on financial boost, but post weekly losses
China stocks ended higher on Friday on gains for financial firms, following Beijing’s stamp duty cut proposal, though they post weekly losses amid renewed worries over Sino-U.S. tensions.
The blue-chip CSI300 index rose 0.5%, to 5,282.28, while the Shanghai Composite Index firmed 0.2% to 3,591.84 points.
Shenzhen’s start-up board ChiNext rose 1.3%, while Shanghai’s tech-focused STAR50 index added 1.2%.
· Malaysia leads Asian stocks lower, firm dollar hits currencies
Most emerging Asian equities declined on
Friday, with Malaysian shares falling the most as domestic
coronavirus cases rise, while currencies weakened after upbeat
economic data from the United States boosted the dollar.
Shares in Kuala Lumpur declined as much as 0.9% and the
ringgit weakened about 0.2% as Malaysia reported 8,209
new daily coronavirus cases and 103 deaths on Thursday.
· Indian shares slip after central bank holds rates steady
Indian shares inched lower on Friday after the country’s central bank kept interest rates unchanged as widely expected and unveiled liquidity support measures, with investors focusing on rising inflationary pressures.
· European stocks steady ahead U.S. jobs data, airlines slide
European stocks inched higher on Friday in cautious trading ahead of U.S. jobs data, with economic recovery hopes putting the main benchmark on course for its third weekly gain.
The pan-European STOXX 600 index was up 0.2% by 0709 GMT, trading just below its record high hit earlier this week. The benchmark was on track to record a 0.6% weekly rise.
All eyes are on the U.S. May payrolls data later in the day, with a strong number likely to add to fears about the Federal Reserve paring back its massive stimulus programme quicker.
· British shares muted ahead of economic data; airlines skid
British shares struggled for direction on Friday as investors stayed away from making big bets ahead of domestic construction activity data and U.S. jobs numbers, while airline stocks came under pressure on tightening of travel restrictions.
The blue-chip FTSE 100 index was flat. British airways owner IAG slipped 2% after Britain removed Portugal from its quarantine-free travel list, and added seven more countries to its red list.
· The global chip shortage doesn’t mean all semiconductor prices will shoot up equally, says Natixis chief economist
The global chip shortage is causing problems for multiple industries and shows no signs of abating, but don’t expect prices for all types of chips to shoot up, says the Asia-Pacific chief economist of research firm Natixis.
Car makers have been hit hardest by the shortage, but the crisis affects everything from gaming consoles to televisions.
But not all industries or products may suffer the same way. In fact, there might even be an oversupply of certain chips, according to Alicia Garcia-Herrero of Natixis.
Reference: CNBC, Reuters
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