Regional Markets Mixed, Fed Comments Influence Asian Sentiment

February 6, 2026
Global Markets
Bloomberg

Asian equities showed mixed performance on Friday, with Singapore's Straits Times Index gaining 0.3% while Hong Kong's Hang Seng Index fell 0.5%. Investors were digesting the latest comments from US Federal Reserve officials regarding the outlook for interest rates. The cautious sentiment reflects ongoing concerns about global economic growth and inflation, influencing capital flows across the region.

On Friday, Southeast Asian and North Asian equities exhibited mixed performances as investors remained cautious about the global economic outlook and central bank policy paths. Singapore's Straits Times Index rose 0.3% to 3,205 points, primarily boosted by banking and real estate investment trust stocks. However, Hong Kong's Hang Seng Index declined 0.5% to 15,600 points, as technology shares faced pressure. Recent hawkish remarks from US Federal Reserve officials, hinting at higher interest rates for longer, fueled risk aversion globally and impacted Asian markets. While Malaysia's market found support from domestic factors, it could not entirely escape the influence of regional sentiment.
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