Global Markets Hesitate Amid Rate Cut Speculations

Global stocks faced volatility as Asian shares mirrored Wall Street's losses, while bond yields fell. The yen's strength pressured Japanese equities, whereas Chinese stocks gained from positive economic data. U.S. markets remained cautious, anticipating potential rate cuts and Trump's inauguration. Meanwhile, Bitcoin, gold, and crude oil saw modest gains.

The global financial landscape took a cautious tone on Friday, as Asian equities mirrored Wall Street's overnight losses, despite a decline in bond yields fueled by speculation that the Federal Reserve will cut interest rates in June.

Japanese shares suffered disproportionately, as the yen's revival sparked anticipation of a Bank of Japan rate hike next week. However, Chinese stocks found support with unexpected strong economic growth data.

Investor attention is shifting to macroeconomic fundamentals amid the commencement of earnings season and upcoming political events, suggesting a delicate balance ahead for global markets.

(With inputs from agencies.)