Asian shares track Wall Street higher, yen weak
The S&P 500 and the Nasdaq again closed at record highs as US data including retail sales and jobless claims beat forecasts, indicating a modest improvement in the economy that should give the Federal Reserve time to gauge the inflation impact from higher US tariffs.
Streaming giant Netflix beat Wall Street's lofty expectations for second-quarter earnings in part due to a weaker US dollar. Its share price, however, fell 1.8 per cent in after-hours trading, with analysts saying much of the growth had already been priced in.
On Friday, MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.8 per cent to its highest since late 2021, bringing the weekly gain to 1.7 per cent.
Japan's Nikkei, however, slipped 0.2 per cent, and the yen was at 148.54 per dollar, down about 0.7 per cent this week after polls showed Prime Minister Shigeru Ishiba's coalition was in danger of losing its majority in the election on Sunday.
Data on Friday showed Japan's core inflation slowed in June due to temporary cuts in utility bills but stayed beyond the central bank's two per cent target. The rising cost of living, including the soaring price of rice, is among the reasons for Ishiba's declining popularity.
"If PM Ishiba decides to resign on an election loss, USDJPY could easily break above 149.7 as it would usher in an initial period of political turbulence," said Jayati Bharadwaj, head of FX strategy at TD Securities.
"JPY could reverse the recent dramatic weakness if the ruling coalition wins and is able to make swift progress on a trade deal with Trump."
Chinese blue-chips rose 0.3 per cent while Hong Kong's Hang Seng index gained 1.2 per cent.
The Tapei-listed shares of TSMC, the world's main producer of advanced AI chips, rallied 2.2 per cent after posting record quarterly profit on Thursday, though it said future income might be affected by US tariffs.
In the foreign exchange market, the US dollar was on the back foot again on Friday, having bounced 0.3 per cent overnight against major peers on the strong economic data. For the week, it is headed for a second successive gain of 0.6 per cent, bouncing further from a three-and-a-half-year low hit over two weeks ago.
Fed governor Christopher Waller said on Thursday he continues to believe the central bank should cut interest rates at the end of July, though most officials who have spoken publicly have signalled no desire to move.
Fed funds futures imply next to no chance of a move on July 30, while a September rate cut is just about 62 per cent priced in.
Treasury yields were slightly lower in Asia. Benchmark 10-year US Treasury yields slipped 2 basis points to 4.445 per cent, having moved little overnight. Two-year yields also edged two bps lower to 3.8981.
US crude inched up 0.2 per cent to $67.66 per barrel and Brent also rose 0.2 per cent to $69.68 a barrel. They, however, lost about one per cent for the week.
Spot gold prices were steady at $3,337 an ounce but were set for a 0.5 per cent weekly loss.
Asian shares have tracked Wall Street higher as still-strong US economic data and robust corporate earnings offset tariff worries, while the yen is in line for a second successive week of loss ahead of Japan's upper house election.
The S&P 500 and the Nasdaq again closed at record highs as US data including retail sales and jobless claims beat forecasts, indicating a modest improvement in the economy that should give the Federal Reserve time to gauge the inflation impact from higher US tariffs.
Streaming giant Netflix beat Wall Street's lofty expectations for second-quarter earnings in part due to a weaker US dollar. Its share price, however, fell 1.8 per cent in after-hours trading, with analysts saying much of the growth had already been priced in.
On Friday, MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.8 per cent to its highest since late 2021, bringing the weekly gain to 1.7 per cent.
Japan's Nikkei, however, slipped 0.2 per cent, and the yen was at 148.54 per dollar, down about 0.7 per cent this week after polls showed Prime Minister Shigeru Ishiba's coalition was in danger of losing its majority in the election on Sunday.
Data on Friday showed Japan's core inflation slowed in June due to temporary cuts in utility bills but stayed beyond the central bank's two per cent target. The rising cost of living, including the soaring price of rice, is among the reasons for Ishiba's declining popularity.
"If PM Ishiba decides to resign on an election loss, USDJPY could easily break above 149.7 as it would usher in an initial period of political turbulence," said Jayati Bharadwaj, head of FX strategy at TD Securities.
"JPY could reverse the recent dramatic weakness if the ruling coalition wins and is able to make swift progress on a trade deal with Trump."
Chinese blue-chips rose 0.3 per cent while Hong Kong's Hang Seng index gained 1.2 per cent.
The Tapei-listed shares of TSMC, the world's main producer of advanced AI chips, rallied 2.2 per cent after posting record quarterly profit on Thursday, though it said future income might be affected by US tariffs.
In the foreign exchange market, the US dollar was on the back foot again on Friday, having bounced 0.3 per cent overnight against major peers on the strong economic data. For the week, it is headed for a second successive gain of 0.6 per cent, bouncing further from a three-and-a-half-year low hit over two weeks ago.
Fed governor Christopher Waller said on Thursday he continues to believe the central bank should cut interest rates at the end of July, though most officials who have spoken publicly have signalled no desire to move.
Fed funds futures imply next to no chance of a move on July 30, while a September rate cut is just about 62 per cent priced in.
Treasury yields were slightly lower in Asia. Benchmark 10-year US Treasury yields slipped 2 basis points to 4.445 per cent, having moved little overnight. Two-year yields also edged two bps lower to 3.8981.
US crude inched up 0.2 per cent to $67.66 per barrel and Brent also rose 0.2 per cent to $69.68 a barrel. They, however, lost about one per cent for the week.
Spot gold prices were steady at $3,337 an ounce but were set for a 0.5 per cent weekly loss.
Asian shares have tracked Wall Street higher as still-strong US economic data and robust corporate earnings offset tariff worries, while the yen is in line for a second successive week of loss ahead of Japan's upper house election.
The S&P 500 and the Nasdaq again closed at record highs as US data including retail sales and jobless claims beat forecasts, indicating a modest improvement in the economy that should give the Federal Reserve time to gauge the inflation impact from higher US tariffs.
Streaming giant Netflix beat Wall Street's lofty expectations for second-quarter earnings in part due to a weaker US dollar. Its share price, however, fell 1.8 per cent in after-hours trading, with analysts saying much of the growth had already been priced in.
On Friday, MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.8 per cent to its highest since late 2021, bringing the weekly gain to 1.7 per cent.
Japan's Nikkei, however, slipped 0.2 per cent, and the yen was at 148.54 per dollar, down about 0.7 per cent this week after polls showed Prime Minister Shigeru Ishiba's coalition was in danger of losing its majority in the election on Sunday.
Data on Friday showed Japan's core inflation slowed in June due to temporary cuts in utility bills but stayed beyond the central bank's two per cent target. The rising cost of living, including the soaring price of rice, is among the reasons for Ishiba's declining popularity.
"If PM Ishiba decides to resign on an election loss, USDJPY could easily break above 149.7 as it would usher in an initial period of political turbulence," said Jayati Bharadwaj, head of FX strategy at TD Securities.
"JPY could reverse the recent dramatic weakness if the ruling coalition wins and is able to make swift progress on a trade deal with Trump."
Chinese blue-chips rose 0.3 per cent while Hong Kong's Hang Seng index gained 1.2 per cent.
The Tapei-listed shares of TSMC, the world's main producer of advanced AI chips, rallied 2.2 per cent after posting record quarterly profit on Thursday, though it said future income might be affected by US tariffs.
In the foreign exchange market, the US dollar was on the back foot again on Friday, having bounced 0.3 per cent overnight against major peers on the strong economic data. For the week, it is headed for a second successive gain of 0.6 per cent, bouncing further from a three-and-a-half-year low hit over two weeks ago.
Fed governor Christopher Waller said on Thursday he continues to believe the central bank should cut interest rates at the end of July, though most officials who have spoken publicly have signalled no desire to move.
Fed funds futures imply next to no chance of a move on July 30, while a September rate cut is just about 62 per cent priced in.
Treasury yields were slightly lower in Asia. Benchmark 10-year US Treasury yields slipped 2 basis points to 4.445 per cent, having moved little overnight. Two-year yields also edged two bps lower to 3.8981.
US crude inched up 0.2 per cent to $67.66 per barrel and Brent also rose 0.2 per cent to $69.68 a barrel. They, however, lost about one per cent for the week.
Spot gold prices were steady at $3,337 an ounce but were set for a 0.5 per cent weekly loss.
Asian shares have tracked Wall Street higher as still-strong US economic data and robust corporate earnings offset tariff worries, while the yen is in line for a second successive week of loss ahead of Japan's upper house election.
The S&P 500 and the Nasdaq again closed at record highs as US data including retail sales and jobless claims beat forecasts, indicating a modest improvement in the economy that should give the Federal Reserve time to gauge the inflation impact from higher US tariffs.
Streaming giant Netflix beat Wall Street's lofty expectations for second-quarter earnings in part due to a weaker US dollar. Its share price, however, fell 1.8 per cent in after-hours trading, with analysts saying much of the growth had already been priced in.
On Friday, MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.8 per cent to its highest since late 2021, bringing the weekly gain to 1.7 per cent.
Japan's Nikkei, however, slipped 0.2 per cent, and the yen was at 148.54 per dollar, down about 0.7 per cent this week after polls showed Prime Minister Shigeru Ishiba's coalition was in danger of losing its majority in the election on Sunday.
Data on Friday showed Japan's core inflation slowed in June due to temporary cuts in utility bills but stayed beyond the central bank's two per cent target. The rising cost of living, including the soaring price of rice, is among the reasons for Ishiba's declining popularity.
"If PM Ishiba decides to resign on an election loss, USDJPY could easily break above 149.7 as it would usher in an initial period of political turbulence," said Jayati Bharadwaj, head of FX strategy at TD Securities.
"JPY could reverse the recent dramatic weakness if the ruling coalition wins and is able to make swift progress on a trade deal with Trump."
Chinese blue-chips rose 0.3 per cent while Hong Kong's Hang Seng index gained 1.2 per cent.
The Tapei-listed shares of TSMC, the world's main producer of advanced AI chips, rallied 2.2 per cent after posting record quarterly profit on Thursday, though it said future income might be affected by US tariffs.
In the foreign exchange market, the US dollar was on the back foot again on Friday, having bounced 0.3 per cent overnight against major peers on the strong economic data. For the week, it is headed for a second successive gain of 0.6 per cent, bouncing further from a three-and-a-half-year low hit over two weeks ago.
Fed governor Christopher Waller said on Thursday he continues to believe the central bank should cut interest rates at the end of July, though most officials who have spoken publicly have signalled no desire to move.
Fed funds futures imply next to no chance of a move on July 30, while a September rate cut is just about 62 per cent priced in.
Treasury yields were slightly lower in Asia. Benchmark 10-year US Treasury yields slipped 2 basis points to 4.445 per cent, having moved little overnight. Two-year yields also edged two bps lower to 3.8981.
US crude inched up 0.2 per cent to $67.66 per barrel and Brent also rose 0.2 per cent to $69.68 a barrel. They, however, lost about one per cent for the week.
Spot gold prices were steady at $3,337 an ounce but were set for a 0.5 per cent weekly loss.
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ABC News
2 hours ago
- ABC News
South Korea's new president faces battle over gender equality
In South Korea, children as young as eight are repeating misogynistic slurs they picked up from YouTube and online forums. "They think it's just a joke," said Seonyeong Baek, a researcher who studies online hate. "But it's actually a serious problem in everyday speech." This isn't fringe behaviour. It's part of a larger shift — where incel rhetoric and anti-feminist backlash have spilled from internet communities into real life, shaping how young people talk, how women are treated at work, and even how the government sets policy. President Lee Jae-myung's recent win gave many women hope that the country would finally tackle gender inequality. But so far, that hope is clashing with deep-rooted bias, rising digital abuse, and a culture that still treats working mothers like a problem to solve. South Korea has the worst gender pay gap in the developed world — hovering near 30 per cent — but that barely scratches the surface. "It's not always about the wage," said Hyunsook Jung from the southern port city of Mokpo. "It's about where the ladder stops." Even in female-heavy industries like fashion, she watched men rocket past her into overseas roles and executive positions. "When both parents work, it's still the mother who prepares meals, cares for in-laws, and gets the first phone call from school. That's the default," she said. The message is clear: women can work, but they're still expected to run the household — and look good doing it. "Korean women and working mothers still find themselves torn between being the 'perfect mother' and the 'perfect professional,'" said Young Ha Yoon, a 50-year-old mother from Incheon. Exit polls showed the majority of women voted for Mr Lee. Many voters, like Ms Hyunsook, told the ABC they wanted practical changes — stable economic policy, affordable child care, and more support for working mothers. JH, a mother of two from Gwangju who asked not to be identified, hoped the new government would help women stay in the workforce after childbirth — a key concern in a country with one of the world's lowest birth rates. "Flexible hours, reliable personal leave, and a workplace culture that supports carers should be treated as essential, not optional," she said. Some women spoke of returning to work just two months after giving birth. "Waiting lists are long for child care, and the hours don't reflect the reality of working parents," said Ms Young from Incheon. She said there had been some progress, citing "Women's Re-employment Centres". But barriers after career breaks remain. "The causes of the wage gap are complex — career interruptions, promotion discrimination, job instability, and gender-based job segregation," she said. "The government is looking at equal pay policies and a wage transparency system." Others described stress balancing long work hours and difficulties with solo parenting. Former president Yoon Suk Yeol vowed to abolish the Ministry of Gender Equality. Mr Yoon's People Power Party leaned on that rhetoric, pushing many women to support the Democratic Party instead. "Not only did female approval ratings for the Democrats rise, but voter turnout among women — especially younger ones — increased," said Jeong Han-wool, a polling expert at the Research Institute of Korean People. The ministry — which translated literally from Korean is called the "Ministry of Women" — has faced criticism for underperformance and Mr Yoon's conservative base called it unfair to men. Yet analysts say its existence remains important. In early July, the ministry announced monthly support payments for single-parent families of 200,000 South Korean won ($220). The ministry also supports victims of sexual violence with a hotline service. The ABC contacted the South Korean government for comment. Mr Lee has tried to appease both sides, offering a rebrand of the department instead. "It's optics, not substance," said Youngmi Kim, a senior lecturer in Asian Studies at the University of Edinburgh. "Renaming it won't fix structural problems — discrimination, career gaps, safety." Despite the pay gap, in a 2019 survey Mr Jeong found that nearly 70 per cent of men in their 20s think discrimination against men is serious. He said there had been a rise in the zero-sum thinking that women's gains come at men's expense. Much of this resentment brews in online echo chambers like Ilbe and FM Korea, both internet forums where anti-feminist comments flow, according to researchers. Ilbe gained notoriety in 2014 when its users mocked grieving parents of the Sewol ferry disaster by holding pizza parties during hunger strikes. "It wasn't just misogyny anymore. It became politicised — anti-liberal, anti-feminist, and deeply disrespectful," Ms Baek said. Since then, it's gotten darker. "Men come out of the compulsory military for two years and see their female peers ahead in the workplace," said Professor Kim. "There's a lot of anger," she added. But Mr Jeong cautioned against generalisation. "The narrative of young Korean men turning radical is often overstated. Most don't support extreme views. Many actually back reforms like increased conscript pay and more inclusive military policies." The term "incel" — involuntary celibate — originated in North America, but in South Korea, it has found a uniquely local expression. Ilbe is one of the most notorious communities. Ms Baek said the incel mindset was trickling down into universities. And it's not just words. There's a surge in deepfake porn, often made and shared by young men and even boys in middle school. Telegram chatrooms swap non-consensual AI-generated nudes like trading cards, Ms Baek said. "They don't even see it as a crime — it's just entertainment for them," she said. Students even compiled spreadsheets listing deepfake porn chat groups. Most of these deepfake communities operate on encrypted platforms like Telegram, making regulation difficult. The government has laws to punish people who possess or share deepfakes, regardless of their intent. But enforcement remains weak. "There's no way to monitor chat rooms unless someone reports it," Ms Baek said. "So if no-one speaks up, no-one is caught." Last year, nearly 800 people sought help from the national digital sex crime centre — an 11-fold increase since 2018. Telegram cannot proactively moderate private groups but accepts reports from users, NGOs and authorities. Mr Lee's approach has been described as cautious — more reactive than visionary. Mr Jeong said there was agreement that the pay gap should be closed. "But very little serious diagnosis of where and why it happens — and almost no concrete proposals on how to fix it." He noted that anti-feminist commentators often dismiss the gap as a statistical illusion. "That argument continues to muddy the public debate and prevent real progress," he said. Women's rights groups have been treading cautiously in recent months, avoiding open confrontations amid political uncertainty after Mr Yoon's failed martial law attempts. Still, activists hope to see movement on key issues: wage transparency, a consent-based rape law, LGBTQ+ protections, and gender equality lessons replacing patchy sex education at schools. So far, most of these are missing from the administration's early agenda. Despite the polarisation, some common ground is emerging: many across the political spectrum now recognise the urgency of tackling deepfake abuse and digital sexual violence. But broader reforms — from equal pay and childcare policy to cultural norms in the home and workplace — will require more than tweaks or rebranding. As polling expert Mr Jeong put it: "The political crisis has suppressed contentious issues like gender equality. But that doesn't mean they've gone away." Ms Young said the work ahead is clear. She said Korean women are stuck between policies that look good on paper, and a reality that hasn't caught up. "Although Korea's policies have made significant progress, workplace culture and societal perceptions are evolving more slowly."
AU Financial Review
3 hours ago
- AU Financial Review
S&P 500, Nasdaq rallies run out of steam
The rally that has propelled both the S&P 500 and the Nasdaq Composite to a series of record highs ran out of steam on Friday (Saturday) amid mixed earnings reports and falling bond yields. Yields were lower after Federal Reserve governor Christopher Waller called a July rate cut for the second time in as many days and also said he'd be willing to become chairman of the central bank if asked.
Perth Now
7 hours ago
- Perth Now
Data, earnings keep S&P 500, Nasdaq at record levels
The S&P 500 and the Nasdaq edged to another all-time high, building on the previous day's record run as strong economic data and earnings reports painted a picture of a resilient US economy. The University of Michigan's Consumer Sentiment Index rose to 61.8 this month from a final reading of 60.7 in June. Economists polled by Reuters had forecast the index rising to 61.5. In early trading on Friday, the Dow Jones Industrial Average fell 39.49 points, or 0.09 per cent, to 44,445.00, the S&P 500 gained 13.97 points, or 0.22 per cent, to 6,311.33 and the Nasdaq Composite gained 52.84 points, or 0.25 per cent, to 20,938.49. On Thursday, the two indexes ended at record levels, thanks to upbeat retail sales and jobless claims, signaling a healthy US economy and giving the Federal Reserve room to pause and watch for tariff-driven inflation. Ten of 11 S&P sectors were on the rise, led by utilities , which jumped 1.7 per cent to an all-time high. Meanwhile, Tesla shares jumped 3.4 per cent to boost the main index. Netflix dropped 4.5 per cent despite the success of "Squid Game" helping it surpass earnings forecasts. The streaming giants also lifted its annual revenue outlook. Similarly, American Express outpaced second-quarter profit estimates, buoyed by strong spending from its affluent cardholders. However, its shares were down 2.6 per cent. Brokerage firm Charles Schwab gained 3.4 per cent after its profit rose nearly 60 per cent in the second quarter. The S&P 500 and the Nasdaq were on track to end the week on a positive note, while the Dow looked largely flat for the week so far. With the August 1 tariff deadline looming, uncertainty over President Donald Trump's trade policy also lingered in the background. Adding to the jitters, reports of a possible ouster of Fed Chair Jerome Powell briefly rattled markets, though Trump was quick to shoot down those reports. Amid growing criticism by Trump of Powell over the reluctance to cut interest rates, Fed Governor Chris Waller said he would accept the job as Fed chair if asked by the president. "It's a bit of everything. Mixed economic data, tariffs, Trump criticising Powell creating a bit of confusion and therefore a lack of direction in markets," said Daniela Hathorn, senior market analyst at Against this backdrop, traders now see a 56 per cent chance of a Federal Reserve rate cut in September, while a July move is all but off the table, according to CME's FedWatch tool. As the second-quarter earnings season gets underway, early results from 59 S&P 500 companies that reported showed more than 81.4 per cent have topped Wall Street's earnings expectations, according to LSEG I/B/E/S data. Cryptocurrency stocks rose after the US House of Representatives passed a bill that would develop a regulatory framework for cryptocurrencies. Robinhood Markets and Coinbase Global gained 4.7 per cent and 6.4 per cent, respectively. Chevron closed its $US55 billion ($A84 billion) acquisition of Hess after winning a landmark legal battle against larger rival Exxon Mobil. Hess jumped 7.6 per cent in early trading. Advancing issues outnumbered decliners by a 2.52-to-1 ratio on the NYSE, and by a 1.9-to-1 ratio on the Nasdaq. The S&P 500 posted 36 new 52-week highs and three new lows, while the Nasdaq Composite recorded 74 new highs and 17 new lows.
