Asian Stocks Drop Ahead Of Busy Data Week, Bitcoin Slips: Markets Wrap

Asian stocks fell with US futures and cryptocurrencies, signaling risk aversion ahead of a slew of economic data this week even as expectations for a December Federal Reserve interest-rate cut remained firm.

A gauge of Asian equities declined 0.2% amid choppy trading, with Japanese shares leading regional losses. S&P 500 futures dropped 0.5% after the underlying gauge rose just as much on Friday amid a technical outage at the Chicago Mercantile Exchange that disrupted premarket activity. The yen climbed as Bank of Japan Governor Kazuo Ueda said an increase in the benchmark interest rate would represent an adjustment of the degree of monetary easing. Bitcoin lost more than 4%.

Meanwhile, WTI crude oil jumped after OPEC+ confirmed it will stick with plans to pause production hikes during the first quarter. Silver also climbed, hitting a fresh record amid ongoing supply tightness and rising expectations for a US rate cut.

The week ahead is set to offer a crucial snapshot of US economic momentum as policymakers weigh the trajectory of interest rates heading into 2026. With inflation and consumer demand under scrutiny, data is likely to shape expectations for whether the Fed continues its rate-cutting cycle. Investors are also bracing for potential shifts in central bank leadership with White House economic adviser Kevin Hassett signaling markets were ready for the announcement of a new Fed chair.

“Investors are cautious to add risk ahead of upcoming US data and macro events,” said Jung In Yun, chief executive officer at Fibonacci Asset Management Global. This looks like a wait-and-watch approach, he said.

Chinese stocks edged higher at the open after data published Sunday showed that factory activity improved but remained in contraction in November. That extended the streak of declines to a record as the country’s economic slowdown deepens.

Markets are continuing to bet that the central bank will cut its benchmark this month. Swaps data shows traders have priced-in almost a full quarter-point reduction since New York Fed President John Williams said he saw room to lower rates again in the near-term amid labor-market softness. The Bloomberg Dollar Spot Index fell, extending losses into a fifth day.

“For now, the data supports the soft landing, and that contributed to the continued equity rally ahead of Thanksgiving,” wrote Tom Essaye of the Sevens Report. “However, there remain a lot of economic unknowns right now and there are simmering risks that the economy is not as strong as investors believe given the lack of government data in recent months.”

The week begins with fresh data on US consumer spending, including Cyber Monday sales, and the release of more delayed economic indicators. Fed officials will review an outdated reading of their preferred inflation gauge ahead of the Dec. 9–10 policy meeting, where debate is expected to center on labor market conditions and the case for a third consecutive rate cut.

While the Fed enters its pre-meeting blackout period, Chair Jerome Powell and Governor Michelle Bowman are scheduled to speak, though they are barred from commenting on the economic outlook or policy.

Other economic data in the coming week include ADP private employment figures for November, as well as Institute for Supply Management surveys of manufacturers and service providers. The Fed is also scheduled to release September industrial production figures.

Hassett, speaking on CBS’ Face the Nation on Sunday, declined to address whether he considers himself the front-runner to replace Fed Chair Jerome Powell, adding a positive market response to indications that US President Donald Trump could pick the next chair before the end of the year.

Elsewhere, airlines across the world raced to keep their fleets operating after a major software glitch forced an urgent update for Airbus SE’s most widely flown aircraft, with the rapid response avoiding a major meltdown during a crucial holiday-travel season.

Corporate News

• EQT AB and CVC Asia Pacific Ltd. scrapped talks with AUB Group Ltd. about a possible takeover offer that had valued the Australian insurance broker at around A$5.2 billion ($3.4 billion). AUB shares slumped.

• South Korean authorities are investigating a data leak at online retailer Coupang Inc. that exposed about 33.7 million accounts in what could be the widest hack for the country of 51.7 million people.

Stocks

• S&P 500 futures fell 0.5% as of 10:24 a.m. Tokyo time

• Japan’s Topix fell 0.8%

• Australia’s S&P/ASX 200 fell 0.3%

• Hong Kong’s Hang Seng rose 0.3%

• The Shanghai Composite rose 0.3%

• Euro Stoxx 50 futures fell 0.2%

Currencies

• The Bloomberg Dollar Spot Index was little changed

• The euro rose 0.1% to $1.1615

• The Japanese yen rose 0.4% to 155.61 per dollar

• The offshore yuan was little changed at 7.0658 per dollar

• The Australian dollar was little changed at $0.6555

Cryptocurrencies

• Bitcoin fell 4% to $87,497.64

• Ether fell 5.6% to $2,852.56

Bonds

• The yield on 10-year Treasuries advanced two basis points to 4.03%

• Japan’s 10-year yield advanced 3.5 basis points to 1.840%

• Australia’s 10-year yield advanced two basis points to 4.54%

Commodities

• West Texas Intermediate crude rose 1.2% to $59.27 a barrel

• Spot gold fell 0.2% to $4,229.92 an ounce