Asian Shares End On Muted Note Amid China Concerns

(RTTNews) - Asian stocks ended mostly lower in muted trade on Friday, with Chinese and Hong Kong markets leading regional losses on persistent concerns over economic recovery.

The dollar saw a broad upswing ahead of key U.S. payrolls data due out later in the day while oil edged up in the wake of supply issues in Libya and lingering Middle East tensions.

China's Shanghai Composite index fell 0.85 percent to 2,929.18, a day after four Chinese bad-debt managers were downgraded by Fitch Ratings. Hong Kong's Hang Seng index settled 0.66 percent lower at 16,535.33.

Japanese shares eked out modest gains as the yen continued to weaken on growing doubts over early interest rate cuts by the Federal Reserve.

The Nikkei average rose 0.27 percent to 33,377.42, with automakers pacing the gainers. Financials also climbed as hunted for higher dividend payouts.

The broader Topix index gained 0.62 percent to close at 2,393.54. Toyota Motor advanced 2.5 percent and Mitsubishi UFJ Financial Group added 2.7 percent.

Seoul shares ended lower, dragged down by auto and energy stocks. The Kospi average dipped 0.35 percent to 2,578.08, extending losses for a third straight session.

Australian markets ended a choppy session on a tepid note as investors awaited domestic inflation data for clues on the central bank's next moves.

The benchmark S&P ASX 200 finished marginally lower at 7,489.10 while the broader All Ordinaries index closed 0.16 percent lower at 7,718.40.

Across the Tasman, New Zealand's benchmark S&P NZX-50 index ended flat with a negative bias at 11,748.48.

U.S. stocks ended mostly lower overnight while the 10-year Treasury yield edged closer to 4 percent as strong labor market data raised fresh uncertainty about the pace of potential rate cuts this year.

The private sector added more jobs than anticipated in December while weekly jobless claims fell more than expected to hit a two-week low, separate reports showed.

The tech-heavy Nasdaq Composite slipped 0.6 percent and the S&P 500 eased 0.3 percent while the Dow finished marginally higher.