In Hong Kong, the benchmark Hang Seng Index opened down three points at 25,526 and was 67 points, or 0.26 percent, down at 25,463 in early trades.
The tech index opened up 12 points, or 0.26 percent, at 4,833 while the China enterprises index was nine points, or 0.11 percent, higher at 8,508.
On the mainland, the Shanghai Composite Index opened down three points at 3,896.
The Shenzhen Component Index was 42 points, or 0.3 percent, at 14,152 while the ChiNext Index was 21 points, or 0.62 percent, higher at 3,537.
In Tokyo, the Nikkei opened up 63 points, or 0.1 percent, at 65,746 before slipping into loss territory, down 584 points, or 0.89 per cent, to 65,098 at one stage before lunch as losses in AI and chip-related stocks outweighed broader gains. At the same time, SoftBank Group slid despite beating market expectations for first-quarter earnings.
In Seoul, the Kospi opened 68 points, or 1.09 percent, higher at 6,365 and was 37 points, or 0.59 percent, down at 6,258 at one stage before midday as the benchmark flitted between gains and losses in early trade on Friday as investors assessed the latest round of US corporate earnings.
After bouts of volatility sparked by concerns over the durability of the AI-driven rally, investors are now squarely focused on the US payrolls report due later in the day, which could prove crucial for the interest-rate outlook. Forecasts are centred on a rise of 80,000 jobs for July after a 57,000 gain in June, with the unemployment rate forecast to hold steady at 4.2 percent.
The stakes are high as markets cannot seem to make up their mind about how the Federal Reserve might move next month, with a rate hike seen as a coin toss.
“With yields and inflation still the key risks for stocks, we expect Friday’s non-farm payroll numbers to trade as a ‘good news is bad news’ print,” said Michael Feroli, chief US economist at JPMorgan, adding that a strong jobs number would reinforce higher-for-longer pricing and put upward pressure on rates.
Conversely, equities may respond positively to a soft payrolls report as yields ease and policy expectations shift toward a dovish path, added Feroli.
Tensions in the Middle East flared up again after Yemen’s Houthis attacked Saudi Arabia, a major oil supplier. Riyadh has warned coordinated attacks by the Houthis and Iran-backed Iraqi militias were imminent.
Brent crude futures gained 1 percent to US$83.38 a barrel after jumping 3.8 percent overnight. (Reuters & Xinhua)
