SHANGHAI (Reuters) – Asian stocks resigned on Friday when concerns over renewed Chinese-US trade tensions weighed on the sentiment before the June trading data release from China, but expectations of a Federal Reserve price decline later this month kept losing. in chess.
FILE PHOTO: Passerby passes an electric display showing Asian markets indices outside a brokerage in Tokyo, Japan, July 1, 2019. REUTERS / Issei Kato
These games remained strong despite an increase in consumer growth in the US in June, and helped lift the S&P 500 index record record on Thursday. The S & P 500 e-mini futures ESc1 was up to 0.21% at 3,010.25.
The Federal Reserve mayor Jerome Powell indicated on Thursday that an additional charge is likely at Fed's next meeting as a slow-moving business venture due to trade disputes and a global downturn.
On Friday, the MSCI's broadest index for Asia-Pacific shares was outside Japan. MIAPJ0000PUS down 0.05% in early deals, with Australian stocks at 0.16% and Japan's Nikkei index. N225 trimmed 0.11%.
"Markets have had some peace in the US-China trade war history since the announcement of a cease-fire and the re-launch of trade talks at the G20 meeting. Unfortunately, headlines are beginning to emerge," ANZ analysts said in a morning report.
U.S .. President Donald Trump said Thursday that China did not live up to the promise of buying American farmers' agricultural products.
"While this wasn't a big market champion, it serves as a reminder that things can flare up again," the analysts said.
Later on Friday, China will release trade data for June, with analysts expecting exports to fall as global weakening demand, and a sharp rise in US tariffs took a heavier toll on the world's largest trading nation.
On Thursday, S & P 500 received SP3 0.23% at a record high of 2,999.91 points and the Dow Jones Industrial Average. DJI also hit record highs of 27,088.08 points, and increased 0.85% in the day.
Nasdaq Composite .IXIC fell 0.08%.
US Treasury yields were higher after weak demand for a $ 16 billion bond auction on Thursday, and after the US Department of Labor said the consumer price index excluding food and energy rose 0.3% in June, the largest increase since January 2018.
The poorly received auctions had pushed 30-year returns as high as 2,672% on Thursday, according to Refinitiv data.
Return on the benchmark portfolio 10-year government bonds US10YT = RR was last on 2.1361%, up from the US's near 2.12% on Thursday, while the 30-year return was 2.6512%, up from 2.639%.
The two-year yield US2YT = RR, which rises with traders' expectation of higher Fed funds, was 1.8605%, up from a 1.852% decline.
"The CPI report will have no significant impact on the Fed Guidance or have a significant impact on the Big Fed debate around 25 or 50," said Stephen Innes, managing partner of Vanguard Markets Pte, referring to the expectations of the size of a July price reduction.
"FOMC is undoubtedly willing to let inflation run hotter after using the better part of a decade trying to ignite those flames," he said.
The dollar fell 0.09% against the yen to JPY 108.38 =, while the euro EUR = edged 0.06% higher to buy $ 1.1599.
The dollar index .DXY, which tracks the greenback against a basket of six major rivals, was flat at 97,044.
Oil prices picked up after taking a thumb on Thursday, after the organization of the petroleum exporting countries said it is expected that the world will need 29.27 million barrels per day (bpd) of crude oil from its members by 2020, 1.34 million bpd less than this year.
Global benchmark Brent crude LCOc1 was 0.53% to $ 66.87 per barrel and US West Texas Intermediate (WTI) crude CLc1 increased 0.61% to $ 60.57 per barrel.
Gold prices, obscured by the stronger than expected US consumer inflation data, regained some of their luster. Spot gold XAU = last traded up 0.28% at $ 1.407.56 per ounce.
Reporting by Andrew Galbraith; Editing Shri Navaratnam