Asian stocks trade in tight range, Japan edges up

US equities posted a weekly loss amid disappointment over Jerome Powell’s push back on the idea of the Federal Reserve supporting markets

Asian stocks swung between small gains and losses as investors adopted a wait-and-watch approach on tariff negotiations before taking long-term bets.

Stocks fluctuated at the open with modest gains in Japan while most of the other markets are shut for the Good Friday holiday. US equities posted a weekly loss amid disappointment over Jerome Powell’s push back on the idea of the Federal Reserve supporting markets. Treasuries fell on Thursday to pare a weekly advance, while the dollar dropped and headed for a third week of losses.

US indexes have been stuck in a range as traders focused more on developments in country-specific trade negotiations, seeking clues on how the tariffs will pan out. Key questions surround China, after Beijing indicated Wednesday it has several conditions for agreeing to talks with President Donald Trump’s administration.

Trump said he was reluctant to continue ratcheting up tariffs on China because it could stall trade between the two countries, and insisted Beijing had repeatedly reached out in a bid to broker a deal. Still, the administration took steps to impose levies on Chinese vessels docking at US ports, threatening to shake up global shipping routes and escalate the trade war between the world’s two biggest economies.

Asian shipping stocks rose after the US move. Japan’s three biggest shipping lines advanced, led by a 3.9% rise for Kawasaki Kisen Kaisha Ltd. In South Korea, HMM Co. jumped as much as 8.2% while STX Pan Ocean Co. climbed 5.6%.

Elsewhere in Japan, consumer inflation advanced apace last month, supporting the central bank’s stance on a gradual rate-hike path. Consumer prices excluding fresh food rose 3.2% from a year ago in March, accelerating from a 3% increase in the previous month.

Meanwhile, Fed Chair Powell on Wednesday had soured sentiment by indicating he would take a wait-and-see approach to how the trade war would impact inflation, dashing hopes for an immediate intervention.

Trump criticized Powell on social media Thursday, saying the Fed Chair’s termination from his post can’t come quickly enough, arguing that the central bank should have cut interest rates already this year. Trump later told reporters he could force Powell out if he wanted to.

The S&P index briefly trimmed some of its losses after Trump said there would be a trade deal with the European Union, without giving details or a timeline on when an agreement would be reached. He was more decisive on a critical US-Ukraine minerals accord, saying a deal would be signed next week.