Asia-Pacific markets were mixed on Friday following softer-than-expected inflation data from the U.S., which raised optimism that inflation could come down without weakening the labor market. The U.S. producer price index rose 0.1% year on year in June, lower than anticipated, while core PPI, which excludes volatile food and energy prices, also climbed 0.1%, below expectations. In Australia, the S&P/ASX 200 climbed 0.26% after the government appointed Michele Bullock as the next governor for the Reserve Bank of Australia. In Japan, the Nikkei 225 fell 0.3%, while the Topix was down 0.5%. South Korea’s Kospi rose 0.78%, and Hong Kong’s Hang Seng index gained 0.95%. Singapore’s economy grew 0.7% year-on-year
How did the softer-than-expected inflation data from the United States impact the Asia-Pacific markets?
Asia-Pacific markets saw mixed results on Friday, as investors digested softer-than-expected inflation data from the United States. The data raised hopes that inflation would decrease without impacting the labor market. The US producer price index rose by only 0.1% year on year in June, lower than anticipated. Additionally, core PPI, which excludes volatile food and energy prices, also increased by 0.1%, below expectations.
In Australia, the S&P/ASX 200 index climbed 0.26% following the appointment of Michele Bullock as the next governor for the Reserve Bank of Australia. Conversely, in Japan, the Nikkei 225 fell by 0.3%, and the Topix was down 0.5%. South Korea’s Kospi index saw a rise of 0.78%, while Hong Kong’s Hang Seng index gained 0.95%. Singapore’s economy grew by 0.7% year-on-year.
The Asia-Pacific markets show cautious optimism as softer US inflation data signals a potential shift in monetary policy. Investors are closely monitoring the situation, anticipating how this may impact global economic recovery.
The Asia-Pacific markets show resilience as they react to softer US inflation data, indicating a cautious but optimistic outlook for the region’s economies.