(Bloomberg) — Stocks in Asia struggled for momentum as a rally in China took a breather and a round of robust wage-hike deals in Tokyo spurred bets that the Bank of Japan’s interest-rate hike is imminent.
Shares in mainland China slipped, with Country Garden Holdings Co.’s missed bond payment weighing on developers. The Hang Seng China Enterprises Index advanced to take gains since a recent low to nearly 20%. US and European equity contracts were little changed after a record-breaking session.
Japanese equities declined while the yen edged up as Toyota Motor Corp. and a slew of other companies agreed to pay increases, adding to signs of a sustainable wage-price cycle. Investors are on the lookout for this week’s union pay deals to determine whether the price pressure will be strong enough for the BOJ to raise interest rates as early as next week.
The report on Toyota “strengthened speculation of a BOJ policy revision,…
