According to Bloomberg, Wall Street experienced gains as concerns about the Federal Reserve's delay in cutting rates eased. This shift followed underwhelming jobs data two weeks ago, which had triggered a global equity sell-off. A stronger-than-expected retail sales figure has alleviated some fears that the US might be slipping into a recession. As stocks rose, US government Treasury yields surged, particularly in shorter maturities, with 10-year yields increasing by eight basis points to 3.91%.

In Asia, upcoming data reports on Friday include gross domestic product figures for Malaysia, Hong Kong, and Taiwan, as well as Tertiary Industry Index data for Japan. Meanwhile, China's central bank chief remains a focal point for market watchers. The S&P 500 extended its rally to 6.6% over six days on Thursday, marking the best performance in such a span since November 2022. US officials have been attempting to use higher rates to curb inflation without causing an economic contraction, aiming for a 'soft landing.' Fed Bank of St. Louis President Alberto Musalem indicated that the time to cut rates is approaching, a sentiment echoed by his Atlanta counterpart.

David Russell at TradeStation commented, 'A soft landing is no longer a hope. It’s becoming a reality.' He added that recent market volatility was not a growth scare but rather normal summer seasonality amplified by currency market movements. In commodities, gold remained steady early Friday at around $2,456 per ounce, while oil edged lower following gains on Thursday.