S. Korea & Hong Kong Lead Asian Equities Higher – Asia Market Wrap

Asian equities rose on Friday, defying the gloomy global stock market sentiment that had pulled US shares lower for the fifth day.

Electrical and electronic equipment supplies pushed the South Korean benchmark up as much as 2.3%. Following Thursday’s decline in the S&P 500 and Nasdaq 100, shares in Australia and Hong Kong gained, as did US equities futures. Japan’s equity trading market is closed for a holiday.

Chinese equities remained in a tight range following the worst start to the year since 2016. On Friday, the 10-year government bond yield fell below 1.6% for the first time in history, fuelled by concerns about the country’s economy.

The Friday moves indicate that the recent slump in global shares may be reversing. Following a bumpy end to 2024, investors are preparing to implement asset allocation strategy for the coming year.

The slide in the US stock market coincided with a surge in the dollar, a popular haven, which reached a new two-year high Thursday before falling Friday. The yen rebounded after falling for the third day in a row against the dollar.