Asian markets trade mixed after Wall Street nears record high

HONG KONG (AP) — Asian shares were mixed on Friday after U.S. stocks neared record highs following economic reports that came in close to expectations.

US futures were little changed and oil prices rose.

Japan’s benchmark Nikkei 225 index fell 0.9 percent in morning trading to 36,491.80, after rising 3.4 percent on Thursday.

The Japanese yen strengthened against the greenback, with USD/JPY falling to 141.05 from 141.79 in early trade on Friday, adding pressure to the nation’s export trade.

“The Bank of Japan is not expected to make any rate moves at its meeting next week, but bearish prices may be in store for policymakers to set the stage for further rate hikes in December and beyond,” he said IG market analyst Yeap Jun Rong. .

Japan’s industrial production figures reflecting manufacturing demand were set to be released later on Friday, which could further weigh on the yen.

Hong Kong’s Hang Seng rose 1.1 percent to 17,422.75, while the Shanghai Composite fell 0.1 percent to 2,714.77.

China is due to release its monthly economic data on Saturday, with market expectations that the three key indicators — industrial production, fixed asset investment and retail sales — will show a slowdown.

Elsewhere, Australia’s S&P/ASX 200 rose 0.3% to 8,096.00. South Korea’s Kospi was down 0.1 percent at 2,568.41.

On Thursday, the S&P 500 rose 0.7 percent to 5,595.76, climbing back to within 1.3 percent of its record high set in July after a shaky summer. He is on his way to his fourth winning week in the last five.

The Dow Jones Industrial Average rose 0.6 percent to 41,096.77 and the Nasdaq composite gained 1 percent to 17,569.68.

Nvidia was the strongest force lifting the S&P 500, rising another 1.9 percent to bring its weekly gain to nearly 16 percent. The chip company’s shares have recently stabilized after falling more than 20 percent over the summer on concerns investors got too high in their frenzy around artificial intelligence.

A report said the number of U.S. workers who filed for unemployment benefits last week rose, although it remains low relative to history. Another said wholesale prices were 1.7 percent higher in August than a year earlier. That’s a slowdown from July’s inflation rate, but a core measure that economists see as a better predictor of future trends also rose more than expected.

The inflation data was similar to Wednesday’s US consumer price report. Traders continued to bet that the Fed would deliver a traditionally sized cut of a quarter of a percentage point next week, instead of the larger half-point that some had expected.

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While lower interest rates help boost the economy and investment prices, they can give inflation more fuel.

In the bond market, the yield on the 10-year Treasury rose to 3.68 percent from 3.66 percent late Wednesday. It is settling slightly after falling since April on expectations for future rate cuts. That easing helped push the average 30-year mortgage rate in the U.S. this week to a 19-month low, according to Freddie Mac.

In energy trading, benchmark U.S. crude gained 31 cents to $68.28 a barrel. Brent crude, the international standard, added 31 cents to $72.28 a barrel.

The euro was at $1.1086, up from $1.1074.

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AP Business Writers Stan Choe contributed from New York.