Australia’s April unemployment rate surged to 4.5%, its highest since November 2021, amid a sharp rise in job losses despite strong demand from manufacturing. The Reserve Bank of India (RBI) triggered an unexpected intervention, pushing the Indian rupee sharply higher, which reflects market uncertainty amid geopolitical tensions. Meanwhile, South Korea confirmed a 24-hour USD/KRW trading facility launch, signaling confidence in the region’s currency recovery. Japan’s April exports rose 14.8% year-on-year, surpassing forecasts, while crude oil imports fell 64%, highlighting supply disruptions. The Bank of Japan’s policy board member Koeda emphasized underlying inflation already at 2%, warning of potential inflationary pressures if Middle East developments persist. However, the flash composite PMI eased to 51.1 in May, indicating surface resilience masking internal strain, especially as services stagnated and inflation hit record highs. The session underscored divergences between Western equities and Asia-Pacific markets, with Wall Street rallies amplifying regional equities but complicating Japan’s central bank strategy. As the session concluded, both corporate announcements signaled mixed signals—Nvidia’s earnings revealed a cautious optimism, while SpaceX’s IPO underlines the importance of financial innovation in shaping global markets.
