Investing.com - Asian stocks followed their U.S. counterparts higher on Friday as Japanese inflation sent USD/JPY soaring while bolstering the case for the Bank of Japan to embark upon asset-buying before the target date of 2014.
In Asian trading Friday, Japan’s Nikkei 225 jumped 2.19%. Earlier today, Japan’s Statistics Bureau said consumer price inflation fell to -0.2% in December from -0.1% in November. Analysts expected a December reading of -0.2%. The core CPI number, which excludes fresh food costs, rose to -0.5% from 0.6% in November. Analysts expected the core CPI to rise to -0.5% last month.
The Japanese inflation data show the economy is still contending with a heavy dose of deflation and that could be in the impetus the Bank of Japan needs to speed up its asset-buying program. Earlier this week, the central bank raised its inflation target to 2% from 1%, but disappointed markets when it said it would not commence an open-ended asset-buying program until 2014.
Minutes from that BoJ meeting released earlier today indicate the bank is committed to bold easing measures aimed at bolstering the floundering Japanese economy.
Chinese stocks languished on the session as Hong Kong’s Hang Seng fell 0.42% and the Shanghai Composite shed 0.29%.
Elsewhere, Australia's S&P/ASX 200 climbed 0.5%, good for an eighth consecutive day of gains. That is the longest winning streaks for Aussie stocks in nearly three years.
On Wednesday, the International Monetary Fund said it cut its global growth forecast to 3.5% for 2013 from a 3.6% forecast made in October. That could be seen as glum news for the Aussie dollar, which can be moved by commodities prices, but China has been delivering some solid economic data points as of late. Additionally, the price of iron ore, of which Australia is a major producer, has been steadily climbing in recent weeks.
Meanwhile, South Korea’s Kospi plunged 1.35% on the back of the weaker yen and slack profits from some major auto producers there. New Zealand’s NZSE 50 gained 0.17% while Singapore’s Straits Times Index added 0.2%. S&P 500 futures fell 0.29%.
In Asian trading Friday, Japan’s Nikkei 225 jumped 2.19%. Earlier today, Japan’s Statistics Bureau said consumer price inflation fell to -0.2% in December from -0.1% in November. Analysts expected a December reading of -0.2%. The core CPI number, which excludes fresh food costs, rose to -0.5% from 0.6% in November. Analysts expected the core CPI to rise to -0.5% last month.
The Japanese inflation data show the economy is still contending with a heavy dose of deflation and that could be in the impetus the Bank of Japan needs to speed up its asset-buying program. Earlier this week, the central bank raised its inflation target to 2% from 1%, but disappointed markets when it said it would not commence an open-ended asset-buying program until 2014.
Minutes from that BoJ meeting released earlier today indicate the bank is committed to bold easing measures aimed at bolstering the floundering Japanese economy.
Chinese stocks languished on the session as Hong Kong’s Hang Seng fell 0.42% and the Shanghai Composite shed 0.29%.
Elsewhere, Australia's S&P/ASX 200 climbed 0.5%, good for an eighth consecutive day of gains. That is the longest winning streaks for Aussie stocks in nearly three years.
On Wednesday, the International Monetary Fund said it cut its global growth forecast to 3.5% for 2013 from a 3.6% forecast made in October. That could be seen as glum news for the Aussie dollar, which can be moved by commodities prices, but China has been delivering some solid economic data points as of late. Additionally, the price of iron ore, of which Australia is a major producer, has been steadily climbing in recent weeks.
Meanwhile, South Korea’s Kospi plunged 1.35% on the back of the weaker yen and slack profits from some major auto producers there. New Zealand’s NZSE 50 gained 0.17% while Singapore’s Straits Times Index added 0.2%. S&P 500 futures fell 0.29%.