On Friday (14 August, 9:41 AM, GMT+7, Bangkok time), major indices in the Asia Pacific traded mixed amid a rally among U.S. technology firms. Investor sentiment was buoyed by declines in oil prices and stable U.S. producer price inflation data, which prompted renewed risk appetite.
The U.S. Bureau of Labor Statistics reported Thursday that month-on-month producer prices were unchanged in July, providing another signal that inflation may be stabilizing. The flat reading followed a revised 0.1% decline in June and was lower than market expectations. Annually, the PPI registered a 4.7% increase in July, slower than the 5.5% pace recorded in June.
Reduced inflationary pressures, together with recent data pointing to a cooling labor market and retreating energy prices, have reinforced market speculation that the Federal Reserve may hold rates steady at its next policy meeting.
Separately, ongoing geopolitical risk remains in view. The U.S. Central Command stated it has established a multinational attack drone task force in the Middle East, building on the rollout of a dedicated drone squadron nine months earlier, as tensions persist between the United States and Iran.
Japan’s NIKKEI increased by 0.82% to 68,866.94. South Korea’s KOSPI grew by 1.42% to 6,910.19, while Australia’s ASX 200 declined by 0.74% to 9,120.50.
As for stocks in China, Shanghai’s SSEC fell by 0.21% to 3,918.73. Hong Kong’s HSI dropped by 0.91% to 25,166.52, while Shenzhen’s SZI remained relatively unchanged at 14,289.79.
The U.S. stock markets edged up on Thursday as the Dow Jones Industrial Average (DJIA) rose by 0.13% to 53,839.99. NASDAQ surged 0.81% to 26,803.02, and S&P 500 gained 0.65% to 7,798.99. VIX advanced by 0.55% to 14.63.
As for commodities, oil prices settled lower on Thursday as concerns emerged around easing global demand and a notable increase in U.S. crude stockpiles, with the U.S. EIA stating crude inventories reached the highest level since early June at 424.4 million barrels. Brent crude futures declined by $1.91, or 2.15%, settling at $87.07 per barrel. U.S. West Texas Intermediate crude dropped $2.02, or 2.4%, to close at $81.25 per barrel.
This morning, Brent futures lost 41 cents, or 0.47%, to $86.66 per barrel, and the WTI futures contracted 29 cents, or 0.36%, to $80.96 per barrel.
Meanwhile, gold futures slumped by 1.06% to $4,373.70 per Troy ounce.
