Asian stocks were broadly steady Thursday after U.S. shares moved in narrow ranges as traders digested commentary from Federal Reserve officials on the outlook for stimulus. Treasuries held a retreat.
Stocks were little changed in Japan, climbed in Hong Kong and edged lower in China, where the central bank increased its injection of short-term cash into the financial system. U.S. futures advanced, following a modest drop in the S&P 500 despite gains among firms that benefit from economic reopening. A rally in Tesla Inc. helped the Nasdaq Composite eke out another record. The benchmark 10-year U.S. Treasury yield remained below 1.50%.
Dallas Fed President Robert Kaplan, who’s penciled in a rate hike next year, said the economy will likely meet the Fed’s threshold for tapering asset purchases sooner than people think. His Atlanta counterpart Raphael Bostic said the central bank could decide to slow such purchases in the next few months. Neither are currently voting members of the Fed’s rate setting committee.
The dollar was little changed, while the yen held a slump, in part as the rebound from the pandemic dents the allure of haven currencies. Traders were monitoring for any impact from news that the U.S. is poised to bar some solar products made in the Xinjiang region over alleged human rights abuses.