Asian stock markets fluctuated at the start of the week, following the modest gains in US stocks last Friday. Investors are now turning their attention to a series of key economic data ahead of the Federal Reserve's expected interest rate cut decision this month. Amid the uncertainty, oil prices surged after OPEC+ maintained its policy of temporarily halting production increases, while silver hit another record. Meanwhile, S&P 500 futures weakened after the major US indexes briefly gained 0.5% despite technical glitches on the CME.

This week will be crucial for the US economic outlook. With inflation and consumption closely watched, a flurry of new data—including consumer spending after Cyber ​​Monday and lagged economic indicators—will shape expectations about whether the Fed will continue its rate cut trend into 2026. Uncertainty increased after White House economic adviser Kevin Hassett hinted that markets should brace for the possible announcement of a new Fed chairman, fueling further speculation about the direction of monetary policy.

As the Fed enters a "blackout" period ahead of its December 9-10 meeting, officials such as Jerome Powell and Michelle Bowman are scheduled to deliver speeches without addressing the economic outlook. Other key data, such as the ADP employment report and the US manufacturing activity survey, will also be in focus. The market is now almost fully pricing in a quarter-point interest rate cut, especially after New York Fed President John Williams emphasized that there is still room for easing amid a easing labor market.

In Asia, economic signals are also mixed. Chinese factory activity is showing improvement but remains in contraction, indicating persistent economic pressures. The yen strengthened ahead of Bank of Japan Governor Kazuo Ueda's remarks, while the yield on Japanese two-year bonds hit 1% for the first time since 2008. In the global aviation industry, airlines are racing to implement emergency software updates on Airbus aircraft after a major disruption nearly disrupted the global holiday travel season. (az)

Source: Newsmaker.id