Asian markets got off to a sluggish start on Friday, mirroring Wall Street’s lackluster performance. Recent mixed U.S. data have done little to shift expectations that the Federal Reserve will cut interest rates next week. Investors have struggled to repeat the gains of the previous week, which were driven by central‑bank officials’ comments suggesting a preference for further monetary easing.
The jobs market is showing signs of softening. Payroll firm ADP reported more than 30,000 job losses in November, while jobless‑claims and layoffs data released on Thursday were slightly better than expected. Nevertheless, markets have priced in a 90 % chance of a rate cut on Wednesday. Attention now turns to the personal consumption expenditures (PCE) index, the Fed’s preferred inflation gauge, due later on Friday. A reading below forecasts could revive hopes for additional rate reductions in 2026, even as inflation remains above target.
Michael Hewson of MCH Market Insights notes that the U.S. labor market is slowing but remains reasonably resilient. He warns that markets are betting on another rate cut, and any delay could trigger a sharp adverse reaction. Wall Street closed the day modestly higher, with the S&P 500 and Nasdaq up slightly and the Dow marginally down. Asian markets followed suit: Tokyo fell over 1 %, and Hong Kong, Shanghai, Singapore and Wellington also posted losses, while Sydney, Seoul, Taipei, Manila and Jakarta edged higher.
In corporate news, Chinese artificial‑intelligence chip maker Moore Threads Technology made a striking debut on the Shanghai exchange, soaring more than 450 % after raising $1.13 billion in its initial public offering. The successful listing is a notable development in the tech sector and will be closely watched in the coming days.
Investors and analysts will monitor the release of key economic data, including the PCE index, as the Fed’s interest‑rate decision carries significant implications for the global economy. Any unexpected move could spark market volatility. As the weekend approaches, market participants will keep a close eye on developments, seeking clues about the direction of markets in the week ahead.
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