© Reuters. Passers-by walk past an electric screen in Tokyo, which displays the indices of Asian markets outside of a broker.
By Andrew Galbraith
SHANGHAI (Reuters) – Asian equities fluctuated between small losses and gains on Friday as investors waited for data on trade, lending and growth in China. and worries over Sino-US trade tensions destroyed optimism over expectations for a rate cut this month.
While an expected cut in the Fed did little to boost profits in Asian markets, European stocks were expected to open higher. [1
Later on Friday, China will publish trade data. Analysts Expect Decline in Exports as Weaker Global Demand and Rise in US Customs Burden Heavily China is expected to release data on lending on Friday, while Q2 GDP figures are scheduled for Monday. It is expected that the world's second largest economy has slowed to the slowest pace in at least 27 years, raising hopes for more incentives to prevent a stronger slowdown.
I do not understand why someone wants to take a position until you have that data, "said Michael Every, head of Asia-Pacific financial market research at Rabobank in Hong Kong.
MSCI's broadest index of equities in the Asia-Pacific region outside Japan (), which moved into a narrow range throughout the day, was flat in the afternoon, with Chinese equities up, the CSI300 () up 0.85%.
Australian equities () down 0; 3% down and the Japanese Nikkei stock index () started the day with little losses but ended it up 0.2% ahead.
As a testament to the economic impact of global trade tensions, Singapore's economy grew the slowest in the second quarter a decade when electronics manufacturing production declined for the sixth consecutive time in May, and exports saw their biggest decline in more than three months.
Commenting on the global slowdown, US Federal Reserve Chairman Jerome Powell said on Thursday that interest rate cuts were expected at the Fed's next meeting.
The bids for such a cut remained strong despite a rise in US consumer price inflation in June, helping to boost Thursday's high of 2,999.91 points by 0.23%.
While the Nasdaq Composite () fell 0.08%, the Dow Jones Industrial Average () also hit a record high of 27,088.08, up 0.85% on the day.
The S & P 500 e-mini Futures () recently gained 0.23% to 3,011.
A tweet from US President Donald Trump on Thursday stating that China is failing to live up to its promises to buy agricultural products from American farmers who threaten to revive worries about trade.
"Markets have calmed down somewhat in the US-Chinese trade war saga since the announcement of a ceasefire and the resumption of trade talks at the G20 meeting, alas, headlines re-emerge," ANZ analysts wrote in a morning note.
"Although this was not a big market driver, it should remind you that things could flare up again," they said.
WEAK TREASURE AUCTION
USA. Government bond yields rose on Thursday after demand for a $ 16 billion 30-year auction of bonds was weak and the consumer price index excluding food and energy was up 0.3% in June. This was the biggest increase since January 2018.
According to Refinitive, the poorly-received auction had pushed the 30-year yield down to 2.672% on Thursday.
Yields continued to rise on Friday. Benchmark 10-year Treasury bills () recently returned 2.1359% after a US close of 2.12% on Thursday, while the 30-year yield hit 2.6511% after a 2.639% close.
"The VPI Report Becomes" Stephen Innes, Managing Partner at Vanguard Markets Pte., Referred to the expectation of a rate cut in July. "After all, the FOMC is unquestionably ready for inflation after much of the decade in which it has been tried to ignite these flames, let them rise, "he said.
The Dollar edged 0.15% yen to 108.32
The (), which proves the greenback against a basket of six major competitors, edged down 0.15% to 96,900. Emagazine.credit-suisse.com/app/art … = 157 & lang = DE In the Gulf of Mexico, more than half of it has been lowered, given a tropical storm and Tensions in the Middle East remained.
The global reference Brent () rose 0.68% to $ 66.97 a barrel. US West Texas Intermediate (WTI) () rose 0.61% to $ 60.57 a barrel.
Gold prices, which were dampened by stronger-than-expected US consumer inflation data, returned to luster thanks to renewed trade fears and interest rate cuts.