Asia markets set for mixed open as U.S. inflation cools more than expected

Asia-Pacific markets are set for a mixed open on Friday after inflation in the U.S. came in lower than expected, raising hopes markets could see a “soft landing” in the inflation fight.

July consumer prices gained 3.2% on an annual basis, less than the 3.3% consensus from economists polled by Dow Jones. On a month-to-month basis, inflation increased 0.2%, in-line with estimates.

The report also said real average weekly earnings were unchanged last month in another positive sign.

However, the core inflation rate — which strips out prices of food of energy — was at 4.7%, the lowest since October 2021 and lower than the 4.8% expected.

Futures for Hong Kong’s Hang Seng index stood at 19,292, pointing to a stronger open compared to compared to the HSI’s close of 19,248.26.

However, in Australia, futures for the S&P/ASX 200 point to a lower open, at 7,281 compared to the last close of 7,357.4.

Japan’s markets are closed for a public holiday, but Asia will see key economic data out from New Zealand on Friday.

Overnight in the U.S., all three major indexes gained on the softer inflation print, with the Dow Jones Industrial Average adding 0.15%. The S&P 500 inched up 0.03%, and the Nasdaq Composite rose 0.12%.

— CNBC’s Samantha Subin and Alex Harring contributed to this report