Asian Markets Trade Mixed

Asian stock markets are trading mixed on Friday, following the mixed cues from Wall Street overnight, dragged by tumbling technology stocks after software giant Microsoft plummeted amid slowing cloud computing growth and disappointing guidance. Apple also warned of margin pressures. Gains in energy sector due to a jump in crude oil prices limited the losses. Asian markets ended mixed on Thursday.

The escalating U.S.-Iran tensions also continued to hurt market sentiment. U.S. President Donald Trump announced via his social media platform that U.S. forces are prepared to severely attack Iran if the nation does not agree to negotiate over its nuclear program. However, Iran responded negatively, stating it was ready to strike back.

The Australian stock market is trading modestly lower on Friday after opening well in the green, extending the slight losses in the previous two sessions, following the mixed cues from Wall Street overnight. The benchmark S&P/ASX 200 is falling below the 8,900 level, with weakness in gold miners and technology stocks partially offset by gains in financial and energy stocks.

The benchmark S&P/ASX 200 Index is losing 29.30 points or 0.33 percent to 8,898.20, after touching a high of 8,971.60 earlier. The broader All Ordinaries Index is down 41.70 points or 0.45 percent to 9,195.20. Australian stocks closed slightly lower on Thursday.

Among major miners, Fortescue is losing more than 2 percent, Mineral Resources is declining more than 3 percent, BHP Group is edging down 0.1 percent and Rio Tinto are losing more than 1 percent.

Oil stocks are mostly higher. Santos is advancing almost 2 percent, while Woodside Energy and Beach energy are gaining more than 1 percent each. Origin Energy is losing almost 1 percent.

Among tech stocks, Afterpay-owner Block is losing almost 4 percent, Zip is slipping almost 3 percent, Xero is declining more than 1 percent and WiseTech Global is down almost 2 percent, while Appen is again skyrocketing more than 27 after reporting upbeat revenues for the fourth quarter, driven by growth in its China and global businesses.

Among the big four banks, Commonwealth Bank, ANZ Banking and National Australia Bank are edging up 0.3 to 0.5 percent each, while Westpac is gaining more than 1 percent.

Gold miners are weak. Evolution Mining is declining almost 5 percent, Genesis Minerals is tumbling almost 7 percent and Northern Star Resources is losing more than 1 percent, while Resolute Mining and Newmont are sliding more than 5 percent each..

In other news, shares in Ioneer are tumbling almost 19 percent after the lithium and boron company announced the receipt of firm commitments from institutional, professional, and sophisticated investors to raise approximately US$50 million.

In economic news, producer prices in Australia were up 0.8 percent on quarter in the fourth quarter of 2025, the Australian Bureau of Statistics said on Friday. That beat forecasts for an increase of 0.6 percent, which would have been unchanged. On a yearly basis, process jumped 3.5 percent – unchanged and matching expectations.

Meanwhile, the Reserve Bank of Australia said total credit in Australia was up 0.8 percent on month in December, exceeding expectations for 0.6 percent, which would have been unchanged. Credit was up 7.7 percent on year.

Housing credit was up 0.7 percent on month and 6.9 percent on year, while personal credit rose 0.5 percent on month and 4.0 percent on year and business credit gained 1.0 percent on month and 9.7 percent ion year. Broad money rose 0.5 percent on month and 7.2 percent on year.

In the currency market, the Aussie dollar is trading at $0.699 on Friday.

The Japanese market is significantly lower in choppy trading on Friday after alternating across the unchanged line, extending the gains in the previous three sessions, following the mixed cues from Wall Street overnight. The Nikkei 225 is falling well below the 52,950 level, with weakness in technology stocks partially offset by gains in automakers and financial stocks.

The benchmark Nikkei 225 Index closed the morning session at the day’s low of 52,923.12, down 452.48 points or 0.85 percent. Japanese shares ended slightly higher on Thursday.

Market heavyweight SoftBank Group is edging up 0.5 percent and Uniqlo operator Fast Retailing is also edging up 0.4 percent. Among automakers, Toyota is gaining more than 1 percent and Honda is adding almost 1 percent.

In the tech space, Advantest is tumbling 5.5 percent, while Screen Holdings and Tokyo Electron are losing almost 1 percent each.

In the banking sector, Mizuho Financial and Sumitomo Mitsui Financial are gaining almost 1 percent each, while Mitsubishi UFJ Financial is edging up 0.2 percent.

Among the major exporters, Mitsubishi Electric and Sony are edging down 0.3 to 0.4 percent each, while Canon is gaining almost 2 percent and Panasonic is edging up 0.5 percent.

Among other major losers, Nomura Research Institute is tumbling almost 16 percent and Tokuyama is slipping almost 9 percent and Fuji Electric is sliding more than 7 percent, while Mitsui Kinzoku, BayCurrent, NEC and Sumitomo Metal Mining are losing almost 6 percent each. Dowa Holdings and SHIFT are declining almost 5 percent each, while Mitsubishi Materials and Keyence are down more than 4 percent each. Japan Steel Works, Ebara and Lasertec are losing almost 4 percent each.

Conversely, Casio Computer is soaring almost 15 percent, Konami Group is jumping almost 8 percent and Chugai Pharmaceutical is surging 5.5 percent, while Fujitsu and Sumitomo Pharma are gaining almost 4 percent each. Mazda Motor and Mitsubishi Motors are adding almost 3 percent each.

In economic news, the unemployment rate in Japan came in at a seasonally adjusted 2,6 percent in December, the Ministry of Internal Affairs and Communications said on Friday. That was unchanged from the November reading and in line with expectations. The job-to-applicant ratio was 1.19 – exceeding forecasts for 1.18, which would have been unchanged.

The ministry also noted that overall consumer prices in the Tokyo region were up 1.5 percent on year, easing from 2.0 percent in December. Core CPI was up an annual 2.0 percent, slowing from 2.3 percent in the previous month.

Meanwhile, industrial production in Japan was down a seasonally adjusted 0.1 percent on month in December, the Ministry of Economy, Trade and Industry said on Friday. That beat forecasts for a drop of 0.4 percent following the 2.7 percent decline in November. On a yearly basis, industrial production was up 2.6 percent. Upon the release of the data, the METI maintained its assessment of industrial production, saying that it continues to fluctuate indecisively.

Also, retail sales slumped 0.9 percent on year in December, well shy of expectations for an increase of 0.7 percent following the gain of 1.1 percent in November.

In the currency market, the U.S. dollar is trading in the higher 153 yen-range on Friday.

Elsewhere in Asia, China, Hong Kong and Taiwan are tumbling 1.50 to 1.7 percent each, while Singapore is down 0.3 percent. New Zealand, Malaysia, South Korea and Indonesia are higher by between 0.1 and 1.0 percent each.

On Wall Street, stocks showed a substantial recovery attempt over the course of the trading day on Thursday following a nosedive seen early in the session. The major averages climbed well off their worst levels of the day, with the Dow reaching positive territory.

The Dow ended the day up 55.96 points or 0.1 percent at 49,071.56, while the S&P 500 closed down just 9.02 points or 0.1 percent at 6,969.01. The tech-heavy Nasdaq ended the day more firmly negative, down 172.33 points or 0.7 percent at 23,685.12, although it had tumbled by as much as 2.6 percent.

The major European markets also turned in a mixed performance on the day. While the German DAX Index dove by 2.1 percent, the French CAC 40 Index crept up by 0.1 percent and the U.K.’s FTSE 100 Index inched up by 0.2 percent.

Crude oil prices spiked on Thursday as Iran shrugged off U.S. threats to negotiate or face attack, causing concerns over possible supply disruptions. West Texas Intermediate crude for March delivery was up $2.23 or 3.53 percent at $65.44 per barrel.

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