(RTTNews) - Asian stocks ended mixed on Friday after Beijing slammed EU tariffs on Chinese electric vehicles as protectionist behavior and indicated it would take countermeasures in an escalating trade dispute.
Signs of falling inflation in the United States helped to limit regional losses to some extent.
The Japanese yen and bond yields fell as the Bank of Japan flagged a cut in debt purchases without laying out any figures or timeline.
Gold edged up slightly in Asian trading while oil prices eased but headed for their best week in more than two months.
China's Shanghai Composite index reversed early losses to end 0.12 percent higher at 3,032.63 while Hong Kong's Hang Seng index dropped 0.94 percent to 17,941.78 on tariff jitters.
Japanese markets reversed early losses to end higher after the Bank of Japan said it would scale down its huge bond-buying program and announce a detailed plan" for the reduction "during the next one to two years or so" at the next policy meeting in July.
The Nikkei average rose 0.24 percent to 38,814.56 amid relief over the central bank making no near-term changes to its bond buying program. The broader Topix index settled 0.54 percent higher at 2,746.61 despite a decline in banking stocks.
Seoul stocks ended higher for the fourth day running due to sustained strength in technology stocks. Tech heavyweight Samsung Electronics rose 1.3 percent while battery maker LG Energy Solution lost 3.9 percent.
The Kospi average inched up 0.13 percent to 2,758.42 as the government extended a market-wide ban on short-selling of stocks through the first quarter of 2025.
Australian markets ended lower as investors braced for the Reserve Bank of Australia's policy meeting due next week.
The benchmark S&P/ASX 200 dipped 0.33 percent to 7,724.30 as miners declined due to pressure on iron ore prices from China's weakening property market. The broader All Ordinaries index ended down 0.35 percent at 7,974.80.
Across the Tasman, New Zealand's benchmark S&P NZX-50 index finished marginally lower at 11,864.89.
Overnight, U.S. stocks finished mostly higher as May producer price data added to signs of easing inflationary pressures.
Data showed the annual rate of producer price growth slowed to 2.2 percent in May from an upwardly revised 2.3 percent in April.
Separate data revealed the number of Americans filing new claims for unemployment benefits increased to a 10-month high last week.
The S&P 500 edged up 0.2 percent to post its fourth consecutive record close and the tech-heavy Nasdaq Composite added 0.3 percent to hit a new record closing high while the Dow slipped 0.2 percent.
