Asian Markets Mostly Lower

Following the mixed cues from Wall Street overnight, Asian stock markets are trading mostly lower on Friday, as traders react to a raft of mixed domestic economic data from the region, particularly manufacturing activity. The downside was limited amid cooling inflation data from the US that raised hopes the US Fed will keep interest rates unchanged for longer. Asian markets ended mostly higher on Thursday.

Giving up some of the gains in the previous three sessions, the Australian stock market is modestly lower on Friday, following the mixed cues from Wall Street overnight. The benchmark S&P/ASX 200 is staying below the 7,100 level, dragged by weakness across most sectors, led by mining and technology stocks.

The benchmark S&P/ASX 200 Index is losing 18.30 points or 0.26 percent to 7,069.00, after hitting a low of 7,041.40 earlier. The broader All Ordinaries Index is down 18.20 points or 0.25 percent to 7,279.50. Australian markets ended significantly higher on Thursday.

Among major miners, BHP Group and Rio Tinto are losing almost 1 percent each, while Fortescue Metals is edging down 0.4 percent and Mineral Resources is declining more than 2 percent.

Oil stocks are mostly lower. Santos, Woodside Energy and Origin Energy are losing almost 1 percent each, while Beach energy is edging down 0.5 percent.

Among tech stocks, Afterpay owner Block is losing almost 1 percent, Xero is declining almost 2 percent, WiseTech Global is down more than 1 percent and Zip is slipping 2.5 percent. Appen is flat.

Among the big four banks, Commonwealth Bank is losing almost 1 percent, while Westpac, ANZ Banking and National Australia Bank are edging down 0.3 to 0.4 percent each.

Gold miners are mostly lower. Northern Star Resources, Gold Road Resources and Evolution Mining are losing more than 1 percent each, while Newmont is gaining almost 1 percent. Resolute Mining is flat.

In economic news, the manufacturing sector in Australia continued to contract in November, and at a faster pace, the latest survey from Judo Bank revealed on Friday with a manufacturing PMI score of 47.7. That’s down from 48.2 in October and it moves further beneath the boom-or-bust line of 50 that separates expansion from contraction.

In the currency market, the Aussie dollar is trading at $0.662 on Friday.

Alternating on either side of the unchanged line in early morning session, the Japanese stock market is slightly lower in choppy trading on Friday, extending the losses in the previous three sessions, following the mixed cues from Wall Street overnight. The benchmark Nikkei 225 is remained below the 33,500 level, as traders reacted to a some of domestic economic data, with losses in some index heavyweights and technology stocks.

The benchmark Nikkei 225 Index closed the morning session at 33,461.71, down 25.18 points or 0.08 percent, after hitting a low of 33,397.42 and a high of 33,551.57 earlier. Japanese stocks closed notably higher on Thursday.

Market heavyweight SoftBank Group is losing more than 1 percent and Uniqlo operator Fast Retailing is edging down 0.5 percent. Among automakers, Honda and Toyota are gaining more than 1 percent each.

In the tech space, Advantest and Tokyo Electron are losing almost 1 percent each, while Screen Holdings is edging up 0.5 percent.

In the banking sector, Mitsubishi UFJ Financial and Sumitomo Mitsui Financial are gaining almost 1 percent each, while Mizuho Financial is edging up 0.2 percent.

Among major exporters, Sony is edging down 0.4 percent and Panasonic is declining more than 1 percent, while Mitsubishi Electric is gaining more than 1 percent and Canon is adding almost 1 percent.

Among other major losers, Rakuten Group is losing more than 3 percent and Taiyo Yuden is declining almost 3 percent.

Conversely, Seven & I Holdings is gaining almost 5 percent and Amada is adding more than 4 percent.

In economic news, the unemployment rate in Japan came in a seasonally adjusted 2.5 percent in October, the Ministry of Communications and Internal Affairs said on Friday. That was beneath expectations for 2.6 percent, which would have been unchanged from the October reading. The participation rate was 63.1 percent, shy of expectations for 62.2 percent and down from 62.3 percent in the previous month.

Meanwhile, the latest survey from Jibun Bank revealed that the manufacturing sector in Japan continued to cobxntract in November, and at a faster pace, with a manufacturing PMI score of 48.3. That’s down from 48.7 in October and it moves further beneath the boom-or-bust line of 50 that separates expansion from contraction.

In the currency market, the U.S. dollar is trading in the higher 147 yen-range on Friday.

Elsewhere in Asia, China, Hong Kong, South Korea, Malaysia, Indonesia and Taiwan are lower by between 0.1 and 0.9 percent each. New Zealand and Singapore are up 0.2 and 0.4 percent, respectively

On Wall Street, stocks indexes once again moved in opposite directions during trading on Thursday after ending the previous session narrowly mixed. While the Dow moved sharply higher to reach its best closing level in well over a year, the tech-heavy Nasdaq finished the day in the red.

The Dow jumped 520.47 points or 1.5 percent to 35,950.89 and the S&P 500 rose 17.22 points or 0.4 percent to a three-month closing high of 4,567.80. Meanwhile, the Nasdaq climbed well off its worst levels of the day but still closed down 32.27 points or 0.2 percent to 14,226.22.

Meanwhile, the major European markets moved to the upside on the day. While the French CAC 40 Index advanced by 0.6 percent, the U.K.’s FTSE 100 Index and the German DAX Index increased by 0.4 percent and 0.3 percent, respectively.

Crude oil prices tumbled on Thursday despite an announcement from OPEC that members have agreed to voluntarily output cuts for the first quarter of 2024. West Texas Intermediate Crude oil futures ended lower by $1.90 or 2.4 percent at $75.96 a barrel.

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