Asian stocks saw a slight rise on Friday, bouncing back from a slow start to 2025, but the MSCI's index is still expected to close almost 1% lower for the week.
The dollar reached a two-year high, driven by investor concerns about prolonged high U.S. interest rates and the economic implications of Donald Trump's upcoming presidency.
China's stock market remains stable despite recent fluctuations, with the CSI 300 Index showing minimal gains after experiencing its weakest New Year performance since 2016.
Traders are cautious as U.S. economic data indicates healthy labor market conditions, yet rising bond yields are pressuring stock markets amid inflation worries linked to Trump’s policies.
In commodity markets, oil prices increased following optimism about China's growth, while gold prices remained steady after a strong year.