Asia markets fall as Japan’s core inflation marks highest in over 40 years

Lee Ying Shan

Asia-Pacific shares traded lower, taking the lead from losses on Wall Street while investors also looked ahead to some economic data in the region. Japan’s core consumer price index at 3.7% in November on an annualized basis, marking the fastest pace since December 1981.

The Nikkei 225 fell 1% in its first hour of trade. The Japanese yen stood at 132.38 against the U.S. dollar. Australia’s S&P/ASX 200 was down 0.84% and South Korea’s Kospi also fell 1.24%.

TICKER	COMPANY	NAME	PRICE	CHANGE	%CHANGE
.N225	Nikkei 225 Index	*NIKKEI	26124.14	-383.73	-1.45
.HSI	Hang Seng Index	*HSI	19679.22	0	0
.AXJO	S&P/ASX 200	*ASX 200	7076.1	-76.4	-1.07
.SSEC	Shanghai	*SHANGHAI	3054.43	0	0
.KS11	KOSPI Index	*KOSPI	2325	-31.73	-1.35
.FTFCNBCA	CNBC 100 ASIA IDX	*CNBC 100	7882.25	-71.7	-0.9

Singapore and Malaysia will also be releasing their inflation data for November.

Overnight in the U.S., stocks tumbled as the year-end selloff resumed following a brief respite this week, dashing hopes for a Santa Claus rally.

Japan’s core inflation notches over 40 year-high

Japan’s core consumer price index rose 3.7% in November on an annualized basis, marking the fastest pace since December 1981, when it rose by 4%.

The reading was in line with estimates from analysts polled by Reuters, and comes after notching 3.6% last month.

The reading remains above the Bank of Japan’s inflation target of 2%. Nationwide CPI for all items stood at 3.8%.

— Lee Ying Shan

CNBC Pro: Tech fund manager backs these 2 software stocks will outperform in a recession

Automation and cost-cutting at many businesses during a recession will drive up profits at two Silicon Valley companies, according to tech fund manager Jeremy Gleeson.

Gleeson, who manages a $1.5 billion tech fund at AXA, believes if there is a recession next year, then “companies are going to need to do more with less.”

“One of the ways they could do that is by utilizing technology better to enhance the productivity of their existing workforce,” he said and named the two stocks that will benefit from the trend.

— Ganesh Rao

CNBC Pro: Buying Peloton and similar growth stocks is ‘absolute nonsense,’ says strategist

High-growth tech stocks are unlikely to rebound after a “pivot” on interest rates from the Federal Reserve, according to one market strategist.

CNBC Pro subscribers can read why Peter Toogood, chief investment officer at Embark Group, also believes stocks such as Peloton are an “absolute nonsense” trade for investors.

— Ganesh Rao

Stocks close lower Thursday

Stocks closed lower Thursday, after pulling back from session lows, as year-end selling resumed on Wall Street.

The Dow Jones Industrial Average fell 348.99 points, or 1.05%, after falling as much as 803.05 points earlier in the session. S&P 500 declined 1.45%, while the Nasdaq Composite was 2.18% lower.

— Sarah Min