Singapore, May. 10 (Us): Stocks were struggling to advance in Asia and the dollar was strong on Wednesday ahead of US consumer price data that could destroy hopes of a rate cut later this year if inflation fails to show much moderation.
MSCI’s broadest index of Asia-Pacific shares outside Japan fell on Tuesday and fell another 0.3% early on Wednesday. Japan’s Nikkei fell 0.4%, Reuters reported.
The S&P 500 fell overnight by 0.5% and S&P 500 futures were flat in the Asian morning. The steady US dollar pushed the euro below $1.10 to $1.0971.
US April consumer price data is due at 1230 GMT and economists expect core CPI to hold steady at 5% annually and core CPI to average very slightly to 5.5%, although anything firmer is expected. Bets may confuse the interest rates will drop.
MI