
Asian Markets Mixed As Traders Eye US Inflation Data, Earnings
Sumaira FH Published January 14, 2025 | 11:40 AM

Hong Kong, (APP - UrduPoint / Pakistan Point News - 14th Jan, 2025) Asian markets diverged Tuesday as bargain buying after recent losses played against ongoing worries about the outlook for the global economy and the impact of a second Donald Trump presidency.
A report saying the incoming US leader's economics team was considering slowly hiking tariffs on imports provided support to traders and put a cap on the dollar's latest surge, while news of fresh curbs on AI chips to China appeared to have little immediate impact.
However, traders remain concerned that his pledges to cut taxes, regulations and immigration continue to dampen sentiment with warnings that the measures will revive inflation.
Traders have slashed their expectations on how many times the Federal Reserve will cut interest rates through 2025 to one, from four predicted last year, while there is even talk that the next move could be a hike owing to still-sticky inflation and Trump concerns.
Data on Friday showing the world's top economy created far more jobs than forecast in December dealt yet another blow to the chances of another reduction at the Fed's next meeting and sent equity markets deep into the red.
Wall Street staged a small recovery Monday, with the Dow and S&P ending in positive territory, but tech titans including big-hitter Nvidia dragged the Nasdaq down again.
Asian markets fluctuated in the morning.
Hong Kong, Shanghai, Sydney, Wellington, Taipei and Jakarta rose, though there were losses in Singapore, Manila and Seoul, with Tokyo the biggest loser as traders returned from a long weekend to play catch-up with Monday's sell-off.
The Dollar eased back against its peers after Bloomberg reported that members of Trump's team were looking at a gradual increase in tariffs in a bid to boost their negotiating hand and tamper inflationary pressures.
Traders were spooked when he said soon after his re-election that he would impose huge levies on China, Canada and Mexico as soon as he took office.
But while the dollar eased, the pound remained stuck at levels not seen since the end of 2023. The euro was near its weakest since late 2022, with fears it could return to parity with the dollar.
Eyes are now on the release of US inflation data this week and the beginning of the release of corporate reports.
"This earnings season will set the tone for financial stocks in 2025, but the stakes are high," said Charu Chanana, chief investment strategist at Saxo Markets.
"Even with solid fourth-quarter results, the macro backdrop -- characterised by lingering inflation concerns, steeper yields, and recalibrated Fed expectations -- may weigh on sentiment.
"With valuations already elevated after a strong 2024, further stock gains will require more than just decent earnings. Robust outlooks, ongoing loan demand, and resilient consumer credit will be critical to sustaining investor confidence."
She added that "uncertainty around Fed policy and a potential shift in fiscal priorities under Trump's new administration will keep markets on edge".
- Key figures around 0230 GMT -
Tokyo - Nikkei 225: DOWN 1.8 percent at 38,469.58 (break)
Hong Kong - Hang Seng Index: UP 1.0 percent at 19,070.30
Shanghai - Composite: UP 1.3 percent at 3,202.40
Euro/dollar: UP at $1.0244 from $1.0224 on Monday
Pound/dollar: UP at $1.2210 from $1.2180
Dollar/yen: DOWN at 157.58 Yen from 157.65 yen
Euro/pound: UP at 83.97 pence from 83.90 pence
West Texas Intermediate: DOWN 0.2 percent at $78.66 per barrel
Brent North Sea Crude: DOWN 0.3 percent at $80.76 per barrel
New York - Dow: UP 0.9 percent at 42,297.12 (close)
London - FTSE 100: DOWN 0.3 percent at 8,224.19 (close)
Related Topics
Recent Stories

UAE launches landmark US$60 million initiative to expand accessible education fo ..

India, US to double bilateral trade to $500 billion by 2030

Bolivia’s heavy rains claim 28 lives as death toll rises

Indonesia hands lengthy sentences to Javan rhino poachers

Currency Rate In Pakistan - Dollar, Euro, Pound, Riyal Rates On 15 February 2025

Today Gold Rate in Pakistan 15 February 2025

RAK Ruler welcomes Michigan Governor, witnesses signing of agreement aimed at dr ..

UAE Wrestling Federation launches new strategy to enhance sport of wrestling

World’s best triathletes to descend on Hudayriyat Island for Modon World Triat ..

UAE broadens visa-on-arrival to Indian nationals

34th Abu Dhabi Desert Challenge set for thrilling showdown

European Commission views Trump's proposed 'reciprocal' trade policy as step in ..
More Stories From World
-
India to receive billions in US weapons, including F-35 jets, Trump says as protestors outside slam ..
10 hours ago -
Tennis: ATP Delray Beach Open results
10 hours ago -
Snow king Evans leads tight race at Rally Sweden
11 hours ago -
M23 fighters, Rwandan troops enter DR Congo's Bukavu: Sources
11 hours ago -
Tennis: Marseille Open ATP results - 1st update
12 hours ago -
M23, Rwandan troops seize Bukavu airport in eastern DR Congo
12 hours ago
-
Swiatek's Doha reign ended by Ostapenko in semis
13 hours ago -
Bayern coach Kompany compares Leverkusen duel with City-Liverpool rivalry
13 hours ago -
Zelensky top aide says discussed 'just peace' with Trump envoy
13 hours ago -
Haaser wins world giant slalom, Odermatt fourth
13 hours ago -
Dubai Customs empowers Emirati talent with open day for private sector opportunities
16 hours ago -
Medvedev into first quarter-final of 2025 in Marseille
17 hours ago