SINGAPORE — Shares in Asia-Pacific fell in Friday trade as the Bank of Japan held steady on monetary policy.
The Nikkei 225 in Japan fell 1.08% while the Topix index slipped 0.26%.
Japan’s central bank downgraded its real GDP forecast for 2021 to 3.8% growth, as compared with the 4% growth forecast made in April.
The Bank of Japan also kept its yield curve control target at -0.1% for short-term interest rates and 0% for 10-year Japanese government bond yields. Yield curve control is a policy to stimulate the country’s economy, and entails keeping the 10-year Japanese government bond yield at zero.
Following that announcement, the Japanese yen traded at 110.01 per dollar, against an earlier high of 109.72 against the greenback.
In other markets, South Korea’s Kospi declined 0.68%.
In mainland China, the Shanghai composite dipped 0.14% while the Shenzhen component shed 0.396%. The Hang Seng index in Hong Kong fell 0.14%.
Australia’s S&P/ASX 200 edged 0.13% lower.
MSCI’s broadest index of Asia-Pacific shares outside Japan traded 0.51% lower.
Overnight stateside, the S&P 500 shed 0.33% to 4,360.03 while the Nasdaq Composite dipped 0.7% to 14,543.13. The Dow Jones Industrial Average advanced 53.79 points to 34,987.02.
Currencies and oil
The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 92.605 after a recent bounce from below 92.4.
The Australian dollar changed hands at $0.7433 following a decline from around $0.748 yesterday.
Oil prices were little changed in the morning of Asia trading hours, with international benchmark Brent crude futures sitting below the flatline as they traded at $73.45 per barrel. U.S. crude futures were marginally higher at $71.67 per barrel.
Source: CNBC