Asian markets posted gains in early trade Friday, shrugging off Wall Street losses ahead of key US jobs data.
Analysts say signs of a robust American economy, such as strong labour market data this week, are bad news for equities as it gives the Federal Reserve more reason to keep monetary policy tight through to the end of the year and beyond.
US Treasury yields hit their highest levels since 2007 this week as investors fear that high borrowing costs for businesses and consumers will eventually drag on the economy.
All eyes are on Friday’s monthly US employment data, which will give investors a good idea of whether recent signs of a softening in the labour market will continue.
“Stock investors are not playing” with the drop in 10-year US yields, and “worries about a hot Non-Farm Payroll are upping the uncertainty index”, Stephen Innes of SPI Asset Management said.
On Thursday, the Dow…
