European markets opened higher on Friday, with Germany's DAX and France's CAC 40 both showing gains. In Asia, Japanese stocks closed higher, while Chinese markets declined as investors awaited a key briefing on an upcoming stimulus plan. The Shanghai Composite and the CSI 300 Index both saw losses, while Hong Kong markets were closed for a public holiday following a significant drop earlier in the week.
All eyes are on China's Finance Ministry briefing scheduled for Saturday, where a 2 trillion yuan fiscal stimulus plan is expected to be unveiled. This comes after earlier announcements regarding economic stimulus plans fell short of market expectations. South Korea's central bank also cut its benchmark interest rate in a move to stimulate economic growth.
In the U.S., stocks retreated from record highs as reports showed slightly higher inflation and an increase in unemployment benefit filings. The Federal Reserve's focus on maintaining economic growth rather than solely combating inflation has been a key driver of market optimism. Despite the slight uptick in inflation and unexpected rise in unemployment filings, underlying trends suggest a mixed economic outlook.
Oil prices saw a decline, with U.S. benchmark crude and Brent crude both dropping. The dollar strengthened against the Japanese yen and the euro, reflecting some market uncertainty amidst global economic developments.
