Asian Markets Trade Mostly Higher

(RTTNews) - Asian stock markets are trading mostly higher on Friday, following the mixed cues from Wall Street overnight, as traders react to a slew of domestic economic data from Japan and Australia. They also reacted positively to the latest U.S. economic data, including a report showing the U.S. economy unexpectedly grew by more than previously estimated in the second quarter. Asian markets ended mostly lower on Thursday.

Traders now cautiously look ahead to the release of closely watched readings on US consumer price inflation later in the day. The data is not likely to impact forecasts for an interest rate cut by the US Fed next month but could impact expectations regarding how quickly the central bank will lower rates.

Reversing the losses the previous session, the Australian stock market is modestly higher on Friday, following the mixed cues from Wall Street overnight. The benchmark S&P/ASX 200 is moving well above the 8,000 mark, with gains across most sectors led by energy and technology stocks.

The benchmark S&P/ASX 200 Index is gaining 34.40 points or 0.43 percent to 8,079.50, after touching a high of 8,085.00 earlier. The broader All Ordinaries Index is up 38.60 points or 0.47 percent to 8,302.20. Australian markets ended modestly lower on Thursday.

Among major miners, BHP Group is edging up 0.1 percent and Rio Tinto is gaining almost 1 percent, while Fortescue Metals is edging down 0.3 percent and Mineral Resources is declining more than 1 percent. Oil stocks are mostly higher. Origin Energy and Beach energy are gaining almost 1 percent each, while Woodside Energy is adding almost 2 percent and Santos is up more than 1 percent.

Among tech stocks, Afterpay owner Block is gaining more than 3 percent and Zip is adding almost 2 percent, while Xero and WiseTech Global are up almost 1 percent each. Appen is sliding almost 6 percent after it its group operating revenue declined 18.4 percent in the half year due to the termination of a contract by Google.

Among the big four banks, Commonwealth Bank is gaining almost 1 percent, while National Australia Bank, ANZ Banking and Westpac are edging up 0.1 to 0.3 percent each. Gold miners are mostly higher. Evolution Mining is gaining almost 1 percent, Northern Star Resources is adding more than 1 percent, Newmont is advancing almost 3 percent and Gold Road Resources is edging up 0.1 percent. Resolute Mining is sliding almost 4 percent.

In other news, shares in Ramsay Health Care shares are slipping almost 8 percent after the private hospital operator said patient growth will slow this year as it warned that cost inflation was hurting margin recovery.

Shares in Downer EDI are skyrocketing almost 17 percent after it swung to an annual profit.

In the currency market, the Aussie dollar is trading at $0.680 on Friday.

Reversing the slight losses in the previous session, the Japanese stock market is now trading notably higher on Friday, following the mixed cues from Wall Street overnight. The benchmark Nikkei 225 is moving above the 38,500 level, with gains across most sectors led by index heavyweights, exporters and technology stocks, as traders react to a slew of domestic economic data.

The benchmark Nikkei 225 Index closed the morning session at 38,585.43, up 222.90 points or 0.58 percent, after touching a high of 38,610.35 earlier. Japanese stocks closed slightly lower on Thursday.

Market heavyweight SoftBank Group is gaining almost 3 percent, while Uniqlo operator Fast Retailing is edging down 0.1 percent. Among automakers, Honda is edging up 0.4 percent and Toyota is gaining almost 2 percent.

In the tech space, Advantest and Screen Holdings are gaining more than 2 percent each, while Tokyo Electron is edging up 0.5 percent.

In the banking sector, Mizuho Financial is edging down 0.2 percent, while Sumitomo Mitsui Financial is edging up 0.2 percent. Mitsubishi UFJ Financial is flat.

Among major exporters, Mitsubishi Electric and Panasonic are gaining almost 2 percent each, while Sony is adding almost 1 percent. Canon is losing almost 1 percent.

Among other major gainers, Furukawa Electric is surging almost 5 percent, while TDK and Taiyo Yuden are gaining more than 4 percent each. Murata Manufacturing, Recruit Holdings, NEC, Fuji Electric, Kansai Electric Power and Japan Steel Works are adding more than 3 percent each, while Disco, Sumitomo Electric Industries, Renesas Electronics, Mitsui & Co., Tokyo Electric Power and Nitto Denko are advancing almost 3 percent each.

Conversely, Terumo and Nitori Holdings are declining almost 3 percent each.

In economic news, the unemployment rate in Japan came in at a seasonally adjusted 2.7 percent in July, the Ministry of Internal Affairs and Communications or MIAC said on Friday. That was above forecasts for 2.5 percent, which would have been unchanged from the June reading. The jobs-to-applicant ratio was 1.24, exceeding expectations for 1.23, which again would have been unchanged. The participation rate was 63.5 percent, down from 63.7 percent in the previous month.

The MIAC also said consumer prices in the Tokyo region of Japan - considered a leading indicator for the nationwide trend - were up 2.5 percent on year in August. That exceeded expectations for an increase of 2.3 percent and was up from 2.2 percent in July. Core CPI, which excludes the volatile costs of food, were up an annual 2.4 percent. That topped forecasts for 2.2 percent, which would have been unchanged.

The value of retail sales in Japan was up 2.6 percent on year in July, the Ministry of Economy, Trade and Industry or METI said on Friday - coming in at 14.309 trillion yen. That missed forecasts for an increase of 2.8 percent and was down from 3.8 percent in June. Commercial Sales added 2.5 percent on month and 7.5 percent on year to 53.440 trillion yen. Wholesale sales rose 3.1 percent on month and 9.9 percent on year to 39.131 trillion yen.

The METI also said Industrial production in Japan was up a seasonally adjusted 2.8 percent on month in July, the Ministry of Economy, Trade and Industry said on Friday. That was shy of expectations for an increase of 3.6 percent following the 4.2 percent contraction in June. On a yearly basis, industrial production rose 2.7 percent. Upon the release of the data, the METI adjusted its assessment of industrial production, saying that it fluctuates indecisively. According to the METI's forecast of industrial production, output is expected to add 2.2 percent in August and fall 3.3 percent in September.

In the currency market, the U.S. dollar is trading in the higher 144 yen-range on Friday.

Elsewhere in Asia, New Zealand, China, Hong Kong, South Korea, Singapore, Malaysia, Indonesia and Taiwan are higher by between 0.2 and 1.0 percent each. On Wall Street, stocks turned in a strong performance throughout much of the trading day on Thursday but gave back ground in the latter part of the session. The major averages pulled back well off their highs of the session, with the Nasdaq and the S&P 500 slipping into negative territory.

The tech-heavy Nasdaq dipped 39.69 points or 0.2 percent to 17,516.43 and the S&P 500 edged down 0.22 points or less than a tenth of a percent to 5,591.96, while the Dow managed to remain in positive territory, climbing 243.63 points or 0.6 percent to a new record closing high of 41,335.05.

Meanwhile, the major European markets moved to the upside on the day. While the French CAC 40 Index advanced by 0.8 percent, the German DAX Index climbed by 0.7 percent and the U.K.'s FTSE 100 Index rose by 0.4 percent.

Crude oil prices settled sharply higher on Thursday on supply concerns amid reports Libya has shut off production and halted exports at several ports. West Texas Intermediate Crude oil futures for October climbed $1.39 or 1.87 percent at $75.91 a barrel.