Asian Markets Open Mixed as Investors Await Crucial US Data
Asia-Pacific stock markets opened mixed on Wednesday (12/8/2026), with investors monitoring a number of global catalysts, particularly US inflation data.
South Korea’s Kospi index rose 1.17%, while Japan’s Nikkei 225 fell 0.17% and Australia’s S&P/ASX 200 weakened 0.52%.
Asian market movements took place amid investor attention on the monetary policy outlook of the US central bank, the Federal Reserve. Markets are awaiting the US consumer price index (CPI) data for July, which will be an important consideration in determining the direction of interest rates at the upcoming September meeting.
Economists surveyed by Dow Jones expect US monthly inflation in July to have risen only slightly, by 0.1% for headline inflation and 0.2% for core inflation. However, on an annual basis, headline inflation is expected to reach 3.4% and core inflation 2.5%, still above the Fed’s 2% target.
Inflation data that comes in higher than expected could increase investor concerns about the possibility of the Fed maintaining a tighter interest rate policy. Attention on inflation also remains high after three Fed officials expressed dissenting views by voting to raise interest rates at the last meeting.
US inflationary pressure could also still stem from rising energy prices, with US oil prices having breached US$83 per barrel this week. This condition occurs amid fading hopes regarding the reopening of the Strait of Hormuz, an important route for global oil trade.
SoFi Chief Investment Strategist Liz Thomas assessed that the latest inflation data will be crucial in determining the direction of market expectations regarding Fed policy. The market currently estimates the probability of a rate hike in September at around 50%, so the inflation data could push expectations in either direction.
Movements in the US bond market will also be in focus after the inflation data release, particularly yields on short- and long-term government debt. The 10-year US Treasury yield is around 4.7%, while the two-year yield is around 4.2%, reflecting market concerns about the possibility of a tighter interest rate regime.
In addition to the CPI data, investors will still face a number of other catalysts this week. The US producer price index (PPI) data for July, to be released on Thursday, will be in focus to see whether inflationary pressure from the producer side continues to ease as in the previous month.
From the US stock market, a number of technology stocks recorded gains in the latest trading. Super Micro Computer shares surged more than 7% after the data centre infrastructure company provided positive projections for first-quarter earnings and revenue, while CoreWeave shares jumped 14% after adjusted operating profit margin in the second quarter reached 5%, exceeding expectations.
On the other hand, market participants will also be watching the financial reports of a number of companies in the next trading session. Cerebras and Cisco are scheduled to deliver their performance reports in the US afternoon trading session.