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BENGALURU: Stocks and currencies were muted in Asia on the Good Friday holiday, while investors kept to the sidelines ahead of key US inflation data.

Markets were shut in Hong Kong, India, Indonesia, the Philippines, Singapore, and the United States.

The focus has turned to the US Federal Reserve’s preferred inflation indicator, the core personal consumption expenditures price index (PCE) and comments from Fed Chair Jerome Powell due on Friday.

The core index was seen rising 0.3% last month, which would keep the annual pace at 2.8%.

In Thailand, the baht currency was on course for its third consecutive drop, standing down 0.1%, although it pared back some earlier session losses.

Market players bet the Thai central bank would start cutting high interest rates at its next policy meeting on April 10, said Poon Panichpibool, a markets strategist at Krung Thai Bank.

The bank’s chief has said it will ensure the policy rate is appropriate to support “long-term sustainable growth” amid concerns about tepid growth and contracting industrial output.

The South Korean won dipped 0.2%, leading the laggards among other currencies. The Taiwanese dollar was flat, while the Malaysian ringgit edged up 0.1%.

In the equity markets, benchmark indexes in Taiwan, Thailand and Malaysia rose between 0.4% and 0.6%. Chinese stocks also rose 0.6%.

Oil prices stayed elevated this week, which analysts fear could slow disinflation in Asia and become a sore point for central banks.

Crude oil prices have averaged $85.4 a barrel this month, up from $77.7 a barrel at the end of 2023, spurred by the OPEC+ decision to extend production cuts.

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