Investing.com-- Most Asian stocks fell on Friday as markets reacted to hawkish comments from the Bank of Japan and mixed Japanese inflation data. All eyes are now on an upcoming address by the Federal Reserve Chairman at the Jackson Hole Symposium.
Regional markets followed Wall Street's weak lead, with a rebound in Treasury yields and a sharp selldown in technology shares causing steep losses overnight.
U.S. stock index futures rose in Asian trade, as investors anticipate Powell's address amid expectations of a Fed interest rate cut in September. However, concerns over a cooling labor market and a potential slowdown in the U.S. economy have dampened risk appetite this week.
Japanese stocks drift lower amid hawkish BOJ talk, mixed CPI
Japan’s Nikkei and Topix indexes fell about 0.2% each, with both indexes on track for a lackluster end to the week. BOJ Governor Kazuo Ueda's comments on interest rates and mixed consumer price index data for July have raised doubts about the central bank's rate hike plans.
Asian stocks weak, tech tracks Wall St losses
Broader Asian markets mostly edged lower, with technology-heavy indexes seeing bigger losses. South Korea’s Kospi fell 0.5%, Hong Kong’s Hang Seng index lost 0.9%, and Chinese stocks remained close to six-month lows. Australian stocks also fell 0.3%.
Analysis:
The Asian markets faced downward pressure on Friday due to concerns over central bank policies, mixed economic data, and global economic slowdown fears. Investors are closely watching the upcoming Fed Chair's address for clues on future monetary policy decisions. Tech stocks, in particular, have been hit hard, reflecting caution in the market. Overall, the markets are volatile and sensitive to both domestic and global economic indicators, making it important for investors to stay informed and cautious in their investment decisions.