Asian Shares Mixed In Thin Holiday Trade

(RTTNews) - Asian stocks ended mixed on Friday as investors grappled with wild swings in bond and currency markets.

U.S. bond yields eased back from multi-year highs and some Federal Reserve officials signaled that an October rate hike may not be urgent, helping limit regional losses to some extent.

The U.S. dollar held at a 17-month high and headed for its third straight week of gains in the face of inflationary pressures.

Gold was little changed below $4,200 an ounce but headed for a second weekly loss, pressured by dollar strength and elevated Treasury yields.

Brent crude futures fell more than 2 percent below $100 a barrel after gaining for two consecutive sessions on fears that global fuel shortages could worsen.

It was reported that Beijing is looking to preserve domestic stocks in a move that will further crimp war-constrained fuel markets.

According to a Wall Street Journal report, the U.S. is sending a third aircraft-carrier strike group and additional Marine Corps ships to the Middle East.

Citing U.S. officials, the WSJ said the ships, jet fighters, Marines and sailors will arrive in the region by the end of November, with President Donald Trump reportedly telling aides he expects to resume bombing Iran that same month.

Mainland Chinese markets remained closed for a public holiday through Wednesday of next week. Hong Kong's Hang Seng index saw its largest single-day decline since July 2026 before settling 2.60 percent lower at 23,972.29 due to disappointment over China's latest stimulus measures.

Earlier this week, China announced new measures to prop up the country's weak property market as part of efforts to keep economic growth on target rather than deliver a broad revival.

Japanese markets lost ground after data showed annual core inflation in Japan's capital accelerated in September at its fastest pace in 10 months, bolstering the case for further interest rate hikes.

The jobless rate inched up to 2.5 percent in August from July's 12-month low, deteriorating for the first time in five months.

The Nikkei average fell 0.94 percent to 68,309.46, retreating from a six-week high as investors locked in gains amid concerns over the outlook for inflation and interest rates. The broader Topix index dropped 0.99 percent to 4,091.

Nissan Motor lost 5 percent, Toyota Motor fell 2.3 percent and Honda Motor declined 1.9 percent after six major automakers reported a 1 percent rise in U.S. sales during January-September period.

Seoul stocks swung between gains and losses before ending modestly higher after official data showed headline inflation eased back below 3 percent in September due to government price caps and lower agricultural costs.

The Kospi index rose 0.46 percent to 7,003.74. Samsung Heavy Industries gained 1.2 percent on securing a 672.2 billion won contract to build two liquefied natural gas carriers for an unnamed Asian buyer. Hyundai Motor dropped 0.7 percent and Kia Corp eased 0.4 percent despite posting record U.S. sales for September.

Australian markets rose notably to snap a four-week slide as government bond yields eased from recent highs. The benchmark S&P/ASX 200 surged 0.79 percent to 8,682.10, led by banks and mining stocks. The broader All Ordinaries index ended 0.69 percent higher at 8,854.70.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index fell 0.94 percent to 13,680.49, extending losses for the third straight session and reaching its lowest level since September 15 after the U.S. 10-year yield touched its highest level in almost a quarter of a century.

Overnight, U.S. stocks fluctuated before finishing mostly higher as the yield on the benchmark ten-year note slumped after reaching its highest level since April 2002 on data pointing to sustained inflationary pressures.

U.S. manufacturing activity was little changed in September, with prices for inputs surging amid rising energy prices.

New applications for unemployment benefits drifted close to 57-year lows last week and layoffs decreased in September, suggesting that the labor market is holding strong despite broader economic uncertainty.

Minneapolis Fed President Neel Kashkari said that inflation remains too high, but he is unsure about whether the next rate hike should happen at the Oct 27-28 meeting.

Federal Reserve Vice Chair Philip Jefferson saw no urgency for the Fed to act again, emphasizing that any future adjustments in policy should be determined by carefully analyzing trends in the data, the evolving outlook, and the balance of risks.

The S&P 500 rose 0.2 percent after having hit a two-week low earlier. The narrower Dow and the tech-heavy Nasdaq Composite both finished marginally higher.