Asia stock markets mixed on Thursday, mirroring global sentiment as investors grew cautious amid ongoing developments surrounding the fragile Israel–Iran ceasefire. Meanwhile, attention is turning back to trade negotiations ahead of Trump’s July 9 deadline. Meanwhile, Fed Chair Jerome Powell, in his second day of testimony, maintained a cautious stance, saying the Fed can manage tariff-related inflation but is not yet ready to cut rates, despite political pressure. On the geopolitical front, US officials expected to meet Iranian counterparts next week and the ceasefire between Iran and Israel appeared to be holding for now. Gold rose toward $3,340 per ounce on Thursday, extending gains from the previous session, supported by a softer US dollar and declining Treasury yields. Japan ( NKY:IND ) rose 1.39% jumped 1% to surpass 39,300 on Thursday, reaching its highest level in four months, following a surge in Nvidia shares, which hit new record highs overnight. The Japanese yen strengthened past 145 per dollar on Thursday, rebounding from the previous session’s losses. China ( SHCOMP ) rose 0.11% held steady on Thursday after rallying for three straight sessions on the back of easing Middle East tensions and fresh policy signals from Beijing, and the offshore yuan strengthened to above 7.15 per dollar on Thursday, hitting its highest level since early November 2024. The People’s Bank of China is establishing a new center in Shanghai to promote the digital yuan and has launched initiatives to encourage its use in global trade and finance. Chinese tech stocks also advanced, tracking gains in global peers after Nvidia surged to new record highs overnight. Traders also looked ahead to next month’s Politburo meeting for clues of further economic stimulus. Hong Kong ( HSI ) fell 0.44% India ( SENSEX ) rose 0.68% Australia ( AS51 ) fell 0.01% down 0.1% to around 8,554 on Thursday, retreating from the previous session’s gains. The Australian dollar strengthened to above $0.652 on Thursday, marking its fourth consecutive session of gains to reach a one-week-high. Job vacancies in Australia rose by 2.9% in the three months to May 2025, recovering from a 4.3% decline in the previous quarter ending in February, according to data from the Australian Bureau of Statistics. In the U.S., on Wednesday, all three major indexes ended mixed as investors weighed steady Middle East ceasefire developments and digested Fed Chair Jerome Powell’s second day of congressional testimony. President Donald Trump said on Wednesday that he has “three or four” candidates in mind to potentially replace Federal Reserve Chair Jerome Powell, whose term ends on May 15, 2026. Market attention is now turning to upcoming data, including Thursday’s final Q1 GDP reading and initial jobless claims, followed by PCE price data on Friday. U.S. stock futures steady on Thursday, with the S&P 500 and Nasdaq Composite hovering near record highs: Dow +0.13%; S&P 500 +0.17%; Nasdaq +0.21%. Currencies: ( JPY:USD ), ( CNY:USD ), ( AUD:USD ), ( INR:USD ), ( HKD:USD ), ( NZD:USD ). More on Asia: BoJ minutes reveal ongoing caution on economy amid inflation & market risks PBoC injects CNY 300 Billion into banking system via MLF to boost liquidity Australia's monthly CPI dips to 7-month low of 2.1% in May Japan's manufacturing rebounds in June, services maintain growth amid new orders Australia's services sector expands to 3-month high; manufacturing holds steady at 51
