Asian investors looked set to end a largely disappointing week on a negative note following the third loss in a row for Wall Street, with concerns that stocks are overvalued after a lengthy rally adding to the mix.

Traders are also keeping a wary eye on Washington as lawmakers bicker over a funding package to keep the government running as a deadline approaches next week.

Equity markets are seeing a pullback in buying after a months-long advance from April's lows. The Federal Reserve cut rates last week, citing a weakening labour market but warning that more reductions were not nailed on.

On top of that, the past week has seen top decision-makers at the bank offer varying views on the way forward, in light of stubbornly high inflation and soft jobs data, as well as concerns about the impact of Trump's tariffs.

Data on Thursday showed second-quarter US economic growth hit 3.8 percent -- instead of the 3.3 percent first thought -- as consumers spent more than expected. The reading marks the fastest quarterly expansion for nearly two years.

The figures came ahead of Friday's release of the Fed's preferred gauge of inflation -- the personal consumption expenditure (PCE) index -- and next week's nonfarm payrolls report.

All three main indexes on Wall Street ended in the red, falling each day since hitting record highs on Monday.

Tokyo, Hong Kong, Shanghai, Seoul, Wellington, Taipei, Mumbai, Bangkok and Manila retreated, with Sydney, Singapore and Jakarta edging up.

The dollar held gains after surging on the growth figures.

Sentiment was also weighed by Trump's new tariffs on pharmaceuticals, big-rig trucks, home renovation fixtures and furniture.

From next Wednesday, "we will be imposing a 100% Tariff on any branded or patented Pharmaceutical Product, unless a Company IS BUILDING their Pharmaceutical Manufacturing Plant in America", Trump wrote on his Truth Social platform.

He also threatened 25 percent levies on "all 'Heavy (Big) Trucks' made in other parts of the world", citing "above all else, for National Security purposes!"

Asian pharma firms retreated, with Shanghai Fosun shedding more than five percent and South Korea's Daewoong off more than three percent. Japan's Daiichi Sankyo and Astellas Pharma were also well in the red. Sydney-listed CSL shed nearly two percent.

Sun Pharmaceutical Industries was the top loser in India's Nifty 50 index and was down three percent, with other pharmaceutical stocks Cipla, Dr Reddy's Laboratories, Lupin and Biocon all lower.

Key industry player India "could be spared" from the levies for now, according to MUFG analyst Michael Wan.

"It is still unclear how branded or patented pharmaceutical products will be defined, but our working assumption is that this will not incorporate generic drugs and pharmaceuticals shipped by the likes of India to the US," he wrote in a note.

A lack of agreement in Washington on a bill to avert a government shutdown was also on traders' radar, with Democrats and Trump's Republicans at loggerheads over the spending plans.

"Republicans are seeking short-term extensions to funding at current levels, while Democrats have demanded more healthcare spending," National Australia Bank's Taylor Nugent said.

"There remains no obvious exit ramp as the 1 October deadline to avoid a US government shutdown approaches," he said.

London, Paris and Frankfurt opened slightly higher.

- Key figures at around 0715 GMT -

Tokyo - Nikkei 225: DOWN 0.9 percent at 45,354.99 (close)

Hong Kong - Hang Seng Index: DOWN 0.5 percent at 26,356.42

Shanghai - Composite: DOWN 0.7 percent at 3,828.11 (close)

London - FTSE 100: UP 0.1 percent at 9,221.42

Euro/dollar: UP at $1.1673 from $1.1658 on Thursday

Pound/dollar: UP at $1.3356 from $1.3335

Dollar/yen: DOWN at 149.77 yen from 149.81 yen

Euro/pound: DOWN at 87.41 pence from 87.42 pence

West Texas Intermediate: UP 0.5 percent at $65.31 per barrel

Brent North Sea Crude: UP 0.3 percent at $69.63 per barrel

New York - Dow: DOWN 0.4 percent at 45,947.32 (close)

dan/pbt

DAIICHI SANKYO

ASTELLAS PHARMA

CSL

MITSUBISHI UFJ FINANCIAL GROUP

NATIONAL AUSTRALIA BANK

INDEX CORP.

Dow