Pedestrians reflected in an electronic screen displaying an illustrative chart in Hong Kong, China, on Tuesday, 15 March 2022. (Photo: Paul Yeung/Bloomberg) Hong Kong-listed technology stocks led declines in Chinese shares as investors weighed recent gains against an upswing in Covid-19 infections and lockdown-like restrictions affecting swathes of Beijing.
US stock futures advanced following commentary from Federal Reserve officials that supports the case for a slower pace of interest-rate increases. The dollar fluctuated after a three-day losing streak.
Malaysia’s ringgit extended gains as the appointment of a new prime minister cleared the political gridlock that has gripped the nation since recent elections.
The won steadied within sight of this month’s high after the central bank governor said he needs to see strong signs that inflation is under control before discussing any prospect of a pivot away from policy tightening.
Yields on Japan’s benchmark 10-year bond rose to 0.245%, near the top of the central bank’s target band, after Tokyo’s inflation picked up more speed to hit its fastest pace in 40 years. The yen fell slightly.
US markets were closed on Thursday and will have a shortened session on Friday.
Oil headed for a third weekly loss as the European Union weighs a higher-than-expected price cap on flows of Russian crude and slowdown concerns threaten the outlook for energy demand.
Gold was little changed but poised for a modest weekly gain.
The outlook for Chinese markets is improving, despite the current flareup in virus cases, according to Jun Bei Liu, a portfolio manager at Tribeca Investment Partners.
“In the next 12 months things will get better. We have seen this playbook before across other economies,” she said on Bloomberg Television. “We’ll begin to see outperformance very soon in the next few quarters.” BM/DM