(Nov 1): Asian equities were set to slip after US stocks dropped on lackluster tech results. A rally in Treasuries favored the long end of the curve ahead of US jobs data due later Friday.

Shares in Australia and Japan equity futures fell, while a gauge of US-listed Chinese companies declined for a third straight day on Thursday. The S&P 500 lost 1.9% and the Nasdaq 100 dropped 2.4% Thursday, their worst sessions since early September. Elsewhere, oil extended gains on a report Iran may be planning fresh attacks on Israel.

Declines for US equities reflected investor unease over tech giants, including Microsoft Corp and Meta Platforms Inc. Apple Inc. shares were slightly softer in post-market trading after reporting weaker-than-anticipated sales in China. Amazon.com Inc. and Intel Corp. bucked the trend, rising in after-hours trade on optimistic outlooks, supporting a small advance for US stock futures early Friday.

“It makes some sense to trim some from those names that have worked so well over the past 12-18 months and look for AI laggards as well as other tech themes like cybersecurity, robotics and automation,” said Michael Landsberg, chief investment officer, Landsberg Bennett Private Wealth Management.

Gains for US government debt on Thursday did little to reverse the heavy selling of the past few weeks that left October as the worst month for Treasuries in two years. Those losses reflected a rethink on US interest rates given signs of resilience in the economy. The lower Treasury yields on Thursday weakened an index of dollar strength.

Weekly US jobless claims fell more than expected, according to figures released Thursday, indicating a robust employment market, and less reason for the Federal Reserve to cut rates. Friday’s nonfarm payroll figures are expected to show 100,000 jobs added to the US economy in October.

Back in Asia, the yen was steady Friday after climbing as much as 1% against the greenback Thursday. The gains followed comments from Bank of Japan Governor Kazuo Ueda that currency markets have had a major impact on the economy, pointing to another potential rate hike in coming months.

Elsewhere, China’s residential property sales rose in October, the first on-year increase of 2024. The moves came after authorities unleashed their strongest package of measures, including cutting borrowing costs on existing mortgages, relaxing buying curbs in big cities and easing downpayment requirements.

Data set for release in Asia Friday includes China Caixin manufacturing PMI, Indonesian inflation and Hong Kong retail sales.

The Fed’s preferred measure of underlying US inflation posted its biggest monthly gain since April, bolstering the case for a slower pace of interest-rate cuts. The central bank is widely expected to authorize a second reduction at the conclusion of its Nov. 6-7 policy meeting following an initial cut in September.

The data offer mixed news for voters seeking to get a sense of where the economy stands heading into the Nov. 5 election, with consumers continuing to spend despite a high cost of living, which has played a key role in the presidential campaigns.

“With the Fed’s attention rotating more toward the full-employment aspect of its dual mandate, we think the steady annual core inflation measure won’t sway the Fed from its rate-cutting path,” Bloomberg economists Stuart Paul and Estelle Ou write in a note.

In commodities, gold retreated as some investors booked profit after the metal’s rally to a fresh record. Oil’s gains came after Axios reported, citing two unidentified Israeli sources, that Iran is preparing a major retaliatory strike on Israel through the militias it backs in Iraq. West Texas Intermediate traded above $70 a barrel.

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