(Bloomberg) — Asian stocks slipped on Monday after US jobs data added to concerns that the Federal Reserve may have waited too long to cut interest rates.

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Equities in Australia, Japan and South Korea racked up losses in early trading, while US futures were little changed. The dollar was steady against peers, with traders split on the size of the Fed’s easing next week. Iron ore fell below $90 a ton for the first time since late 2022.

Nonfarm payrolls data on Friday added to signs the US job market is losing steam, fueling debate over how much the Fed should cut interest rates. After the data was released, Fed Governor Christopher Waller said he was “open-minded” on the potential for a bigger rate cut.

“Asian stock markets, especially in tech-driven regions like Japan, Taiwan, and South Korea, are set to brace for a storm with their economies acutely sensitive to the brewing global downturn,” said Hebe Chen, an analyst at IG Markets Ltd. “If the dark clouds of a struggling US economy spread globally, risk-sensitive currencies like the Aussie could soon come under severe strain,” she said.

Just before stocks opened in Tokyo on Monday, data showed that Japan’s economy expanded in the second quarter at a pace slightly slower than the government’s initial estimate. But it still advanced enough to keep the Bank of Japan on track to raise interest rates later this year. The yen was slightly weaker against the greenback early Monday, while the Nikkei 225 index slumped as much as 3%.

Chinese assets will be in focus as officials attempt to lift sentiment by removing restrictions to foreign ownership in the manufacturing and health sectors. Seven & i Holdings Co. shares will be closely watched amid takeover offer speculation from Alimentation Couche-Tard Inc. Australia’s 10-year yield climbed in early trading.

The People’s Bank of China kept its buying of gold on hold a fourth month in August, a further sign that prices near record highs are crimping global central bank demand.

September is proving a volatile month for markets as global stocks and commodities slumped amid fears of tepid global growth. More unease is likely as Chinese inflation and producer prices data later Monday may highlight the economic malaise that policymakers are struggling to counter.

Traders this week will be keeping a close eye on US inflation data as worries mount the Fed has waited too long to cut interest rates as recession risks grow. Treasury Secretary Janet Yellen at the weekend sought to temper fears, seeing no “red lights flashing” for the financial system and reiterated her view that the US economy has reached a soft landing even as jobs growth weakens.

Fed policymaker comments following the jobs print “did not indicate a sense of immediate urgency in needing to cut interest rates by 50 basis points,” said Diana Mousina, deputy chief economist at AMP Ltd. in Sydney. “So, a 25 basis point cut is more likely in September, with the risk of larger rate cuts if the data indicates the need for it.”

In other commodities, oil rose early Monday after dropping below $68 a barrel on Friday as the US jobs report added to concerns about tepid demand for crude.

Some key events this week:

• China PPI, CPI, Monday

• Japan GDP, Monday

• Chile copper exports, trade, Monday

• Mexico CPI, Monday

• Australia consumer confidence, Tuesday

• China trade, Tuesday

• China’s National People’s Congress standing committee meeting begins, Tuesday

• Germany CPI, Tuesday

• UK jobless claims, unemployment, Tuesday

• South Africa manufacturing production, Tuesday

• Bank of Canada Governor Tiff Macklem speaks, Tuesday

• Brazil CPI, Tuesday

• Harris-Trump debate, Tuesday

• Reserve Bank of Australia Assistant Governor Sarah Hunter speaks, Wednesday

• BOJ board member Nakagawa Junko speaks, Wednesday

• South Korea jobless rate, Wednesday

• UK industrial production, Wednesday

• US CPI, Wednesday

• Japan PPI, Thursday

• BOJ board member Naoki Tamura speaks, Thursday

• India CPI, industrial production, trade, Thursday

• Eurozone ECB rate decision, Thursday

• Swiss National Bank President Thomas Jordan speaks, Thursday

• Peru rate decision, Thursday

• US initial jobless claims, PPI, Thursday

• New Zealand PMI, Friday

• Eurozone industrial production, Friday

• France CPI, Friday

• ECB Governing Council member Olli Rehn speaks, Friday

• US University of Michigan consumer sentiment, Friday

Some of the main moves in markets:

Stocks

• S&P 500 futures rose 0.1% as of 9:24 a.m. Tokyo time

• Hang Seng futures were little changed

• Japan’s Topix fell 2.6%

• Australia’s S&P/ASX 200 fell 1%

• Euro Stoxx 50 futures fell 1.9%

Currencies

• The Bloomberg Dollar Spot Index was little changed

• The euro was little changed at $1.1088

• The Japanese yen fell 0.3% to 142.67 per dollar

• The offshore yuan fell 0.1% to 7.1044 per dollar

• The Australian dollar was little changed at $0.6675

Cryptocurrencies

• Bitcoin rose 1.4% to $55,123.01

• Ether rose 1.4% to $2,308.07

Bonds

• The yield on 10-year Treasuries advanced three basis points to 3.74%

• Australia’s 10-year yield advanced five basis points to 3.93%

Commodities

• West Texas Intermediate crude rose 1.2% to $68.50 a barrel

• Spot gold was little changed

This story was produced with the assistance of Bloomberg Automation.

–With assistance from Georgina McKay.

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