MONEY MASTER

Asian equities posted mild gains on Friday as investors stayed cautious ahead of the  Bank of Japan ’s policy decision, while Malaysian markets are expected to  trade sideways with a positive bias  following recent strength in the ringgit and steady monetary policy at home. Regional sentiment improved after Wall Street extended its rebound overnight, supported by easing geopolitical tensions after U.S. President Donald Trump walked back tariff threats on Europe and ruled out the use of force over Greenland. The  MSCI Asia-Pacific ex-Japan Index  rose  0.4% , while U.S. futures were little changed, signalling a pause in momentum rather than a fresh risk-on push. Malaysia Market Lens For Malaysia, the backdrop remains relatively constructive.  Bank Negara Malaysia ’s recent decision to keep the  OPR at 2.75%  continues to anchor domestic sentiment, while strong 2025 trade performance and benign inflation provide support for equities. The  ...

Key Takeaways Japan’s Nikkei fell  1.5%  as weak household spending deepened expectations of a BOJ rate hike. Japan’s 10-year bond yield hit  1.94% , the highest since 2007. Markets now price a  75% chance  of a BOJ rate hike in December. Asian markets were broadly subdued, with mixed performance across major indices. Investors await the delayed US  PCE inflation  report, expected to show core inflation rising 0.2 percent. Fed funds futures imply almost a  90% chance  of a rate cut next week despite divisions within the Fed. Japan’s Nikkei 225 fell sharply on Friday, erasing its weekly gains as weak household spending data reinforced concerns about inflation and strengthened expectations of a Bank of Japan (BOJ) rate hike later this month. The index dropped  1.5% , placing it on track for a flat week. MSCI’s broadest index of Asia-Pacific shares outside Japan eased  0.1%  but remained up  0.5%  for the week. Japan’s h...