©Reuters.
Investing.com — Asian stocks remained narrow on Monday as most major Asian markets were closed for Lunar New Year, while losses in pharmaceutical giant CSL (OTC:) dragged Australia's ASX 200 lower.
Markets in China, Hong Kong, Singapore, and South Korea were closed for Lunar New Year, and Japan was also closed for National Day.
Australia fell 0.2% as strong gains were offset by losses. CSL Co., Ltd. (ASX:), after the biopharmaceutical giant announced that a Phase 3 trial of its heart attack drug failed to meet its primary efficacy endpoint.
Losses for CSL, the third-largest stock on the ASX by market capitalization, offset strong gains in ANZ Group Holdings Limited (ASX:) and JB Hi-Fi Limited (ASX:) after they posted strong returns. Each is for a six-month period ending December 31st.
JB Hi-Fi in particular soared nearly 7% after posting a smaller-than-expected decline in first-half profits.
Other Asian stocks were generally weak. Indian index futures signaled a flat start to the week ahead of major markets. The figures came days after the Reserve Bank of India warned that it would remain mostly hawkish in the coming months due to the risk of higher inflation.
Stocks face US inflation test this week
Traders remained largely cautious ahead of key U.S. inflation data to be released on Tuesday, with regional indexes offering limited guidance after U.S. stocks closed at record highs on Friday. .
Futures were little moved, but Asian trade edged lower.
US consumer price index (CPI) inflation is expected to decline slightly in January, but is likely to remain well above the Federal Reserve's annual target of 2%, prompting central bank interest rate cuts. There are few reasons to start.
Beyond the inflation statistics, a number of Fed officials are scheduled to speak this week and provide further hints about monetary policy.
Most Asian markets were reeling from a sluggish start to 2024, as markets began to steadily price in the possibility of an early US interest rate cut.
Japanese stocks were an exception, with traders flocking to Japanese stocks all at once, betting on the dovish Bank of Japan and strong financial results. It rose 0.2% on Monday.
