Markets in China meanwhile recovered slightly after coming under pressure in recent sessions. The Shanghai Composite rose 1.2 percent after four consecutive losing days and the blue-chip CSI 300 Index gained 1.48 percent. The smaller Shenzhen Composite rose 2 percent. The Hang Seng Index in Hong Kong rose 1.14 percent, with the consumer goods and information technology sectors picking up most in the morning.
The rebound came after China took action on Thursday to reduce restrictions on foreign investment in sectors such as banks] Despite Friday's gains, both the Shanghai Composite and the Shenzhen Composite remained in the bear market, meaning that they have dropped at least 20 percent from their recent highs. The mainland markets have been under pressure lately as investors were worried about the impact of the trade tensions between Washington and Beijing.
In the third quarter, the US-China trade dispute is likely to remain a key risk for investors in the region (1
MSCI's broad equity index in Asia The Pacific region outside Japan rose 1.01 percent, easing some of its recent losses after plunging to a nine-month low on Thursday.
Investor sentiment improved on the night shift US equities rebounded from earlier declines on Thursday to end the session due to gains on banks and technology stocks.
The Dow Jones Industrial Average rose 0.41 percent or 98.46 points, closing at 24,216.05, and major indexes posted slightly steeper gains. Meanwhile, US Treasury yields rose slightly overnight overnight, after US gross domestic product growth slowed down more than expected. The yield on benchmark 10-year US government bonds was 2.84 percent last.
The upleg in the session also came after the regional markets closed lower Thursday on concerns about trading pressures that had weighed on investor sentiment in recent weeks. These declines came despite the US government's less keen interest in Chinese investment in US technology.
Oil prices posted some gains overnight but were supported by continued concerns over supply. US crude oil futures fell 0.39 percent to $ 73.16 a barrel after reaching a three-year high overnight. Brent crude futures were down 0.15 percent to $ 77.73.
On the corporate front, the smartphone maker Xiaomi wants to praise its IPO in Hong Kong on Friday. The retail share of the offering was 8.5x overbought, reported the South China Morning Post.
Sharp shares rose by 16.81 percent elsewhere. The stock price rose after the company announced plans to drop $ 2 billion in new shares.
In the economic news, the unemployment rate in Japan fell to its lowest level in more than 25 years. Reuters said. In the meantime, Japanese industrial production declined by 0.2 percent in May, which was less than the 1.1 percent average decline forecast in a Reuters survey.
It is expected that the manufacturing purchasing managers indices in China will be released on Saturday.