Asian markets trade mixed ahead of key US inflation data

August 12, 2026 (MLN): Asian markets opened mixed on Wednesday as investors remained cautious ahead of the latest US inflation report, which could influence expectations for the Federal Reserve’s next interest-rate decision.

South Korea’s Kospi gained 1.17%, while the small-cap Kosdaq declined 1.35%. Japan’s Nikkei 225 slipped 0.17%, although the broader Topix advanced 0.3%. Australia’s S&P/ASX 200 fell 0.52%, according tpo CNBC.

US stock futures were largely steady overnight, with Dow Jones futures up 22 points, or 0.04%. S&P 500 futures gained 0.07%, while Nasdaq 100 futures rose 0.08%.

Investor attention is centered on the July consumer price index due later Wednesday. Economists expect headline inflation to increase 0.1% month-on-month and core inflation to rise 0.2%.

On a yearly basis, headline and core inflation are forecast at 3.4% and 2.5%, respectively, both remaining above the Federal Reserve’s 2% target.

A stronger-than-expected inflation reading could reinforce expectations for tighter monetary policy at the Fed’s September meeting, while a softer reading could ease concerns over further rate increases.

US Treasury yields were also being closely monitored, with the 10-year yield around 4.7% and the two-year yield near 4.2%, reflecting continued concerns over the interest-rate outlook.

Oil prices above $83 a barrel have added to inflation concerns, particularly as uncertainty surrounding the reopening of the Strait of Hormuz persists.

Markets will also turn to Thursday’s July producer price index for further clues on inflationary pressures. On the earnings front, investors are due to receive results from Cerebras and Cisco later Wednesday.

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