Asian markets were mixed Friday as investors parsed a deluge of economic data and corporate earnings.
"Elevated trading volumes across Asia Pacific region suggest the rotation out of bonds into stocks in ongoing," said Michael McCarthy, chief market strategist at CMC Markets.
"Bond yields are higher across the region, continuing the sell-off sparked by better-than-expected GDP numbers in the U.K. (and) some of these proceeds are finding their way into shares," he said.
Global bond yields received a boost overnight from stronger-than-expected U.K. GDP data and comments from the Bank of Japan Governor Haruhiko Kuroda that it may not increase its quantitative easing program.
During Asia's trading day, yields on 10-year Treasurys were up 1.861 percent at a five month-high, while the 10-year JGB yield slipped 0.045 percent.
The ASX 200 closed down 0.22 percent, or 11.745 points, at 5,283.8, weighed by declines in its financials subindex, which was down 0.58 percent, along with its REITs subindex which fell 1.09 percent. Losses were partly offset by strength in the energy subindex, which gained 1.66 percent, and the materials sector, up 1.42 percent.
"(The Australian market faces) concerns about the Fed and the U.S. election that seem to be weighing on most share markets," said Shane Oliver, chief economist at AMP Capital, in a Friday note.
Moreover there has been "a reversal of the huge bond rally that had helped the higher dividend paying Australian share market and in sectors like real estate investment trusts up to mid-year, (along with) a soft patch in consumer spending, and stock specific issues," he added.