Asian stocks edged lower on Friday as a brief rebound in technology shares lost momentum and renewed worries over China’s property crisis weighed heavily on regional sentiment. Markets also saw subdued activity due to the U.S. Thanksgiving holiday, leaving investors with limited trading cues. Still, expectations of a potential U.S. interest rate cut in December helped keep broader declines in check.
Chinese equities were among the biggest drags, with the Shanghai Shenzhen CSI 300 and Shanghai Composite slipping around 0.3%, while Hong Kong’s Hang Seng dipped 0.1%. Selling pressure intensified in China’s real estate sector as investors dumped China Vanke’s bonds, driving its Shenzhen-listed shares down an additional 1.5%. Reports that the state-backed developer was seeking to restructure certain debt obligations fueled speculation that Vanke could face a default—an event that would surpass the collapses of Evergrande and Country Garden. With China’s property sector serving as a major economic pillar, further turmoil threatens to deepen growth risks. Mainland markets were down between 2% and 3% for November, with the Hang Seng trading mostly flat for the month.
Japanese stocks traded flat to slightly lower as strong economic data increased expectations that the Bank of Japan may soon raise interest rates. Tokyo’s November inflation held steady, with core inflation still above the BOJ’s 2% target. Industrial production unexpectedly improved, and retail sales beat forecasts, although unemployment remained unchanged and job applications softened. Analysts noted that the overall data reinforced the case for tighter monetary policy, potentially as early as December, despite resistance from the Sanae Takaichi government. The Nikkei 225, pressured by falling tech shares, was down 4.5% for the month.
Across the region, South Korea’s KOSPI fell nearly 1% and was down almost 4% in November, while Australia’s ASX 200 remained flat and on track for a 2.9% monthly decline amid expectations that the Reserve Bank of Australia will keep rates elevated. India’s Nifty 50 futures traded steady ahead of key GDP data, supported by low inflation and lower exposure to tech, posting a 1.9% gain in November. Singapore’s Straits Times index rose 0.4%, up 2.2% for the month.


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