Asia markets set to open mixed as investors await key economic data in the region

CNBC

4 hours ago

Asia-Pacific markets are expected to trade mixed as investors await a slate of Chinese economic data later in the day, as well as Japan's second-quarter GDP.
Happy Friday from Singapore. Asia markets are set for a mixed open.
Australia's S&P/ASX 200 was set to start the day marginally lower with futures tied to the benchmark at 8,838, compared with the index's last close of 8.873.8.
Japan's Nikkei 225 was set to open higher, with the futures contract in Chicago at 42,795, while its counterpart in Osaka last traded at 42,770, against the index's last close of 42,649.26.
Futures for Hong Kong's Hang Seng index stood at 25,316, pointing to a weaker open compared with the HSI's last close of 25,519.32.
South Korean markets were closed for a holiday.
— Lee Ying Shan
The S&P 500 ticked higher on Thursday to eke out its third record close in a row.
The benchmark added 0.03%, closing at 6,468.54. The Nasdaq Composite slipped 0.01%, finishing at 21,710.67. The Dow Jones Industrial Average shed 11.01 points, or 0.02%, and settled at 44,911.26.
— Lisa Kailai Han
In a Thursday interview with CNBC, economist Marc Sumerlin confirmed that he's in the running to be the next Federal Reserve chair.
"I got a call last Wednesday that said there was going to be a list [and] I was going to be on it. That's as much as I know right now," he said. "I'm waiting for more guidance on where we go from here."
Sumerlin also voiced his support for a big interest rate cut. The former senior economist under then-President George W. Bush said that a 50 basis-point rate cut "seems like pretty much a no-brainer to me."
One basis point equals 0.01%, so a 50 basis-point cut would be half a percentage point.
— Jeff Cox, Lisa Kailai Han
Equities may have further upside from here, but investors should still be mindful of elevated volatility going forward, according to UBS.
"While the VIX index of implied stock volatility has fallen to the lowest level since December last year, market swings could pick up quickly if trade tensions escalate significantly, economic data weakens faster than expected, or if geopolitical risks worsen," the bank wrote in a Wednesday note to clients. "Investors who are already allocated to equities in line with their strategic benchmarks should consider structured strategies with capital preservation features, while those underallocated should prepare to add exposure on potential market dips or consider a disciplined approach to phasing into stocks."
UBS added that a "well-diversified portfolio" is suited for helping investors hedge against volatility while also setting them up for future gains.
— Lisa Kailai Han