Asia-Pacific Markets Mixed as Investors Await Key Economic Data from U.S., China

Asia-Pacific markets opened mixed on July 8 as investors awaited crucial economic data from the U.S. and China. Election results in France also indicated a divided parliament, influencing market sentiment.

Asia-Pacific Markets Show Mixed Response Amid Economic Data Anticipation and French Election Results

Investors anticipated critical economic data from the United States and China later this week, while the election results in France overnight indicated a divided parliament. Consequently, Asia-Pacific markets opened mixed on July 8.

In a parliamentary run-off vote on July 7, France's left-wing New Popular Front coalition unexpectedly halted a far-right advance by securing the highest number of seats despite falling short of an absolute majority.

Investors will evaluate the Federal Reserve's interest rate course in anticipation of the U.S. consumer price index reading, released on July 11. Meanwhile, China's inflation figures, expected to be released on July 10, will provide insight into the country's economic recovery.

According to a Reuters (via CNBC) poll of economists, no modifications are anticipated in the central bank decisions from South Korea, New Zealand, and Malaysia, which are also scheduled to be announced this week.

The broad-based Topix was 0.17% lower, while Japan's Nikkei 225 was marginally down. Japan's earnings have declined for the 26th consecutive month, resulting in losses.

While nominal wages increased by 1.9% to 297,151 yen ($1,850), real wages decreased by 1.4% year over year in May, according to the country's Ministry of Health, Labor, and Welfare data. Additionally, the wage increase in May was the most rapid in the previous 11 months.

Conversely, the small-cap Kosdaq experienced a 0.42% increase, while South Korea's Kospi experienced a 0.21% increase. Even though the company's largest union is scheduled to commence a three-day strike on July 8, shares of the heavyweight Samsung Electronics increased by 1.49%.

Samsung Union Pushes for Improved Compensation Amidst Broader Market Fluctuations

According to Reuters, The National Samsung Electronics Union (NSEU), which has approximately 28,000 members, has requested that the company enhance its performance-based compensation system and provide employees with an additional day of annual leave.

The exact number of employees who will participate in the strike is currently unknown; however, the union's survey indicates that approximately 8,100 members have indicated their intention to do so as of today (July 8).

The S&P/ASX 200 index in Australia experienced a 0.1% decline, indicating that it is on the brink of experiencing its second consecutive day of losses.

The Hong Kong Hang Seng index futures were trading at 17,687, lower than the HSI's most recent close of 17,799.61.

The S&P 500 and the Nasdaq Composite reached new highs in the United States on July 5, with both indexes posting record closes. The most recent employment report reignited expectations for rate cuts from the Federal Reserve.

The broad market index closed at 5,567.19, up 0.54%, while the Nasdaq, dominated by technology, gained 0.90% to finish at 18,352.76.

The Dow Jones Industrial Average experienced a 0.17% increase.

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