Asian Stocks Under Pressure After Blowout US Jobs: Markets Wrap
(Bloomberg) — Asian stocks were headed for early declines Monday after strong US jobs data led traders to rethink the path ahead for Federal Reserve interest rate cuts.
Most Read from Bloomberg
Shares in Australia slid more than 1% and equity futures for Hong Kong fell, indicating further pressure on a gauge of the region’s shares that’s dropped in the prior three sessions. Japan’s market is closed for a holiday Monday.
Contracts for US stocks edged lower Monday after the S&P 500 fell 1.5% Friday, while the Nasdaq 100 lost 1.6% following the jobs report. Treasuries tumbled with the 10-year yield closing seven basis points higher at 4.76%, a level not seen since 2023.
Australian and New Zealand bond yields also climbed early Monday. The dollar traded within tight ranges after strengthening against most major currencies on Friday, pushing an index of greenback strength to a two-year high. The yen was an outlier, clawing back a recent decline against the dollar following signs Bank of Japan officials are likely to discuss raising their inflation outlook at a policy meeting later in January.
Selling in stocks and renewed vigor for the dollar reflect the caution that has marked the opening weeks of the year as traders remain uncertain about the pace of Federal Reserve cuts and inflation.
In commodities, West Texas Intermediate crude rose 1.7% early Monday after touching a three-month high Friday as the US ratcheted up sanctions against Russia, adding to a run of bullish developments that have propelled crude to a strong start to 2025.
Elsewhere, options traders are preparing for the pound to tumble as much as 8% more as fiscal woes that prompted a painful selloff across UK markets last week weigh on the currency.
In Asia, data set for release Monday includes December trade data for China and inflation for India. Separate figures on China’s December money supply may also be released at any time through January 15.
Economic data for China will offer investors further evidence of the challenges facing the world’s second largest economy. Chinese stocks are facing their worst start to a year since 2016 after falling more than 5% in the first seven trading sessions of 2025.
Strong Jobs
Investors will shift their focus to signs of US inflation in data to be released this week, with the consumer price index report released on Wednesday. They’ll also be watching the New York Fed’s one-year inflation expectations due Monday, producer prices on Tuesday and jobless claims on Thursday.
Related
Steve Jobs’ Wife Laurene Powell Arrives In Prayagraj To Attend…
Laurene Powell Jobs, the widow of Apple co-founder Steve Jobs, has arrived in
Chulalongkorn University Joins World Economic Forum to Announce “The Future…
BANGKOK, Jan. 13, 2025 /PRNewswire/ -- Professor Dr. Wilert Puriwat, President of Chulalongkorn University, announces the findings from the "Future of Jobs
Asia-Pacific markets trade lower after strong U.S. jobs report clouds…
This is CNBC's live blog covering Asia-Pacific markets. Asia-Pacific markets traded lower Monday, after U.S. jobs report on Friday dampened in
More than 10K job openings at Las Vegas Job Fair…
LAS VEGAS (KTNV) — If you're looking for new employment opportunities, there will be a Job Fair & Career Expo at the Boulevard Mall (3528 S. Maryland Park
