Hong Kong-listed tech shares led the falls, with a gauge of stocks in the region headed for its sixth drop in seven days. Weakness was also evident in benchmark indexes for Japan, Australia and South Korea.

Futures for the Nasdaq 100 fluctuated after a 2.5% slump in the underlying measure during US trading, when sentiment was battered by a bleak outlook from chipmaker Micron Technology Inc.

The dollar was steady against most of its major counterparts Friday. Treasury yields edged higher, adding to a move that pushed up the policy-sensitive two-year yield on Thursday. Australian and New Zealand government bond yields rose.

Trading as one

US data painted a picture of a resilient economy, stoking concern that the Fed has a longer way to go to subdue inflation. Initial jobless claims rose less than forecast in the week ended Dec 17, underscoring the strength in the labour market. Third-quarter gross domestic product was revised to 3.2% — compared with a previously reported 2.9% advance — on firmer spending.

Meanwhile, concerns are also growing that Japanese investors could be persuaded to bring home some of the trillions of dollars they have stashed in foreign stocks and bonds as the yen and local bond yields rise in the wake of this week’s sudden hawkish move from the Bank of Japan. That could further lift global borrowing costs and drag on already cooling economic growth, with eurozone bonds seen especially vulnerable.

Elsewhere in markets, gold was steady in Asia after falling 1.2% Thursday in the wake of the US economic data.

Oil headed for a substantial weekly gain as China’s shift from Covid Zero bolstered the demand outlook, US stockpiles fell and traders waited for Russia’s response to the Group of Seven cap on its crude.