A measure of future U.S. economic activity fell in May for the sixth straight month and triggered a recession signal, held down by consumer pessimism, weak new orders for manufactured goods, an uptick in jobless benefits claims and a drop in building permit applications.

Oil prices were on track to rise for the third straight week despite slipping on Friday, with investors on edge as the week-old war between Israel and Iran showed no signs of either side backing down.

Bank of Japan policymakers agreed on the need to keep raising still-low interest rates, but some saw the need to pause for the time being due to uncertainty over U.S. trade policy, minutes of their April 30-May 1 policy meeting showed on Friday.

Most Asian stocks firmed on Friday after U.S. President Donald Trump postponed a decision on U.S. involvement in the Israel-Iran war by two weeks, offering markets some near-term relief. 

Global foreign direct investment fell for the second consecutive year in 2024, with fears this year could be even worse as trade tensions rock investor confidence, the United Nations agency for trade and development said in a report published on Thursday.

HSBC expects the Federal Reserve to implement three 25-basis-point interest rate cuts through March 2025, according to a recent bank forecast. The global bank anticipates cuts in September and December this year, followed by another reduction in March 2025.