Asian markets opened mixed on Thursday as investors assessed comments from US Federal Reserve officials suggesting interest rates could remain elevated longer than expected, while renewed hopes for additional Chinese economic stimulus helped offset early losses.
Cautious sentiment across the region
Tokyo’s Nikkei 225 slipped slightly in early trading after a volatile overnight session on Wall Street, where US indices closed lower following remarks from Fed Chair Jerome Powell about inflationary persistence. In contrast, Hong Kong’s Hang Seng Index climbed modestly, supported by gains in Chinese property and technology shares. Shanghai’s Composite Index also edged higher, buoyed by speculation that Beijing may introduce new fiscal measures to boost domestic consumption before year-end.
Currency and commodities moves
The Japanese yen remained under pressure near ¥150.5 against the US dollar, reflecting ongoing market expectations that the Bank of Japan will maintain its ultra-loose monetary stance. The Chinese yuan strengthened marginally after state banks were reported to have stepped in to stabilise the currency. Meanwhile, oil prices steadied around $83 a barrel, as traders awaited new supply data and developments in Middle Eastern geopolitical tensions.
Investors eye upcoming data
Regional investors are now turning their attention to upcoming economic data releases, including China’s October trade figures and Japan’s household spending report, which are expected to offer further insight into regional growth trends. Analysts note that overall market sentiment remains fragile, with persistent global inflation and uneven recovery patterns influencing short-term positioning.
Outlook for the week
While Thursday’s session began with uncertainty, several analysts expect Asian equities to remain broadly supported by improving corporate earnings and stabilising global bond yields. However, any sign of renewed tightening from the Fed or weaker Chinese data could quickly reverse the tentative optimism.
Newshub Editorial in Asia – 6 November 2025
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