Asian shares showed a mixed performance on Friday, with Chinese stocks rebounding after the announcement of new measures to stimulate the struggling property market. U.S. futures remained relatively stable, with the Dow Jones Industrial Average contract hovering near the 40,000 mark after reaching this milestone for the first time on Thursday.
China's central bank unveiled steps to boost the housing sector, including reducing required down payments for housing loans and cutting interest rates for first and second home purchases. These measures were introduced in response to ongoing economic challenges, particularly in the real estate industry. A news conference on property policies was scheduled to take place later on Friday.
Notable market movements included Hong Kong's Hang Seng index rising by 0.7% to 19,512.54 and the Shanghai Composite index surging by 0.8% to 3,119.49. Property developers experienced significant gains, with China Evergrande Group and China Vanke seeing notable increases in their stock prices.
In contrast, the Nikkei 225 in Tokyo declined by 0.3% to 38,787.38, while Australia's S&P/ASX 200 dropped by 0.9% to 7,814.40. South Korea's Kospi also fell by 1% to 2,724.62.
On Thursday, U.S. markets experienced a slight dip, with the Dow slipping by 0.1% to 39,869.38 after surpassing 40,000. The S&P 500 and Nasdaq composite also saw marginal declines following record highs earlier in the week.
Deere reported stronger profits for the latest quarter but lowered its profit forecast for the fiscal year, leading to a decrease in its stock price. Homebuilders such as D.R. Horton, Lennar, and PulteGroup also contributed to the market's decline after a disappointing housing industry report.
GameStop and AMC Entertainment continued to slide after a strong start to the week, with GameStop falling by 30% and AMC Entertainment losing 15.3%. However, Walmart's stock rose by 7% after reporting better-than-expected profits for the quarter.
Encouraging signals for the broader economy were seen as Warren Buffett's Berkshire Hathaway disclosed an ownership stake in Chubb, leading to a 4.7% increase in the insurer's stock price.
Strong profit reports and renewed hopes for Federal Reserve interest rate cuts have been driving U.S. stock indexes to record highs. Concerns about inflation and household finances have been partially offset by positive economic data, including a slight increase in unemployment benefit applications and mixed manufacturing growth reports.
In the oil market, benchmark U.S. crude oil rose to $79.56 per barrel, while Brent crude reached $83.77 per barrel. The U.S. dollar strengthened against the Japanese yen and the euro.
