Asia-Pacific markets expected to open mixed; China to release loan rates, while tensions rise between Israel and Iran as U.S. weighs military support for Israel. Japan’s Nikkei 225 projected higher, but Australia and Hong Kong indices may see declines.
Asia-Pacific markets are braced for a mixed opening as investors keep a close eye on forthcoming economic data from China and rising geopolitical tensions between Israel and Iran.
The giant from Asia is expected to announce its one-year and five-year loan prime rates for June later today. Investors are anxiously awaiting this, particularly with ongoing concerns regarding the Israel-Iran conflict. The situation has intensified as U.S. President Donald Trump considers military support for Israel, promising a decision within the next two weeks.
In Japan, the benchmark Nikkei 225 is projected to open higher. Futures from Chicago indicate a price of 38,645, while Osaka futures were trading at 38,520. This is an increase from yesterday’s close of 38,488.34.
Moreover, Japan’s core inflation rate rose to 3.7% in May, marking its highest level since January 2023. This figure, which excludes fresh food prices, has surpassed expectations set by economists in a Reuters poll, who predicted a rate of 3.6%. The previous month’s inflation rate was noted at 3.5%.
On the other hand, Australia’s S&P/ASX 200 index is anticipated to open lower, with benchmarks indicating a futures price of 8,496 compared to a recent close of 8,523.70.
Looking at Hong Kong, futures for the Hang Seng index are down as well, with estimates pointing to a weaker open at 23,185 against its prior close of 23,237.74.
U.S. stock futures dipped during early Asian trading hours as traders absorbed the latest developments from the tumultuous Middle East, particularly regarding the Israel-Iran situation. It’s noteworthy that regular trading was closed overnight in the U.S. due to the Juneteenth holiday.
In summary, Asia-Pacific markets are set for a mixed start amid uncertainty surrounding China’s upcoming economic data and the escalating situation between Israel and Iran. While Japan shows signs of potential gains, Australian and Hong Kong indices appear headed for declines. Overall, investors are watching these developments closely, which may influence market directions in the coming days.
Original Source: www.nbcchicago.com
