Sep 04 ,2025
Synopsis:
Asian markets set for positive start to Friday trade. Futures signaling opening gains in Japan and Australia. Hang Seng tracking for quieter open after Nasdaq Golden Dragon index fell 1%. S&P 500 futures up slightly after US indexes staged broad gains with big tech mostly higher. Australian bond yields lower in belly of the curve after Treasuries firmed ahead of nonfarm payrolls. FX markets steady with dollar fluctuating on major crosses. Crude down to one-week low. Gold backing down from record high. Bitcoin coming off preceding lows.
China markets in focus following Thursday's selloff on mainland indexes. Weakness was tabbed to reports China regulators mulling steps to cool markets following strong August that invited overheating concerns. Rally skeptics argued gains driven mostly by liquidity given still-weak economic and corporate fundamentals. Concerns about speculative excess prevalent in small-cap tech space with STAR 50 down 6% Thursday and Cambricon Technologies sliding 14.5%.
President Trump signed executive order implementing US-Japan trade agreement, formally establishing 15% tariff that also extends to autos and avoids tariff stacking. Japan to increase share of US rice imports under existing quota system to 75% and commit to annual agricultural purchases totalling A$8B. Japan's top negotiator Akazawa departed for Washington on Thursday with Japan's $550B investment commitment expected to be focus of talks with Commerce Secretary Lutnick and other US officials.
Economic calendar headlined by US nonfarm payrolls, forecast to show another sub-100K headline print and unemployment rate nudging up to highest since Jul-2023. Follows recent indicators pointing to labor market softness with ADP private payrolls below consensus and JOLTS job openings lowest since Sep-2024. Weak July payrolls data and dovish-leaning remarks from Fed Chair Powell had already led markets to fully price in September rate cut with another reduction expected by year-end.
Pre-open Company News:
300498.CH -- Wen's Foodstuff Group provides August sales update
1860.HK -- Mobvista initiated buy at Sealand Securities (timing uncertain)
300003.CH -- Lepu Medical Technology (Beijing) doses first subject in phase II trial of MWN105 for treating overweight and obesity
000651.CH -- Gree Electric Appliances Inc of Zhuhai downgraded to overweight from buy at Zhongtai Securities (timing uncertain)
3301.HK -- Ronshine China Holdings reports August contracted sales CNY129.9M; StreetAccount notes the year-ago figure was CNY1.08B
6274.TT -- Taiwan Union Technology reports August revenue NT$2.54B, +15.03% y/y
2368.TT -- Gold Circuit Electronics to issue up-to-NT$9.0B five-year zero-coupon convertible bond
1996.HK -- Redsun Properties Group reports August contracted sales CNY299M; StreetAccount notes the year-ago figure was CNY581M
535.HK -- Gemdale Properties & Investment reports August aggregate contracted sales CNY608M; StreetAccount notes the year-ago figure was CNY1.29B
16.HK -- Sun Hung Kai Properties reports FY adjusted net income HK$21.86B vs StreetAccount HK$21.89B
688521.CH -- Verisilicon Microelectronics (Shanghai) extends trading halt from 5-Sep for up to five days
003380.KS -- Harim Holdings to issue KRW143.21B exchangeable bonds due 12-Sep-2030
4307.JP -- Nomura Research Institute upgraded to overweight from neutral at JPMorgan
On Deck:
Japan:
Economic:
08:30 JST: Real Household Consumption Expenditure Y/Y; consensus
08:30 JST: Real Household Income Y/Y; consensus
08:50 JST: FX Reserves M/M; consensus
14:00 JST: Leading Index (Preliminary); consensus
Earnings:
Kanamoto (9678.JP)
Taiwan:
Economic:
16:00 TST: CPI NSA Y/Y; consensus +1.5%
Philippines:
Economic:
09:00 SST: CPI Y/Y; consensus +1.3%
Market Data:
Gold (Dec 25): ($7.90) or (0.22%) to $3598.80
WTI Crude (Oct 25): ($0.18) or (0.28%) to $63.30
$-¥: +0.28 or +0.19% to 148.3910
$-KRW: +2.88 or +0.21% to 1392.4400
A$-$: (0.00) or (0.41%) to 0.6517
$-INR: +0.12 or +0.14% to 88.1930
$-CNY: (0.00) or (0.01%) to 7.1298
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