Asian markets fell on Tuesday as investors anticipated the upcoming U.S. jobs report, which is expected to influence the Federal Reserve’s interest rate decisions.
The report, due on Friday, is crucial for determining whether the Fed will cut rates by 25 or 50 basis points.
Concerns about China’s economy also weighed on market sentiment. Recent data showed that China’s manufacturing sector contracted for the fourth month in a row, leading to uncertainty about the country’s economic recovery.
In currency markets, the yen strengthened following hints from the Bank of Japan about potential future rate hikes.
Meanwhile, Cathay Pacific’s shares dropped after an issue with its A350 aircraft led to temporary groundings.