HONG KONG: Asian markets mostly rose Monday as fresh hopes for a US interest rate cut provided some calm after last week&#39;s rollercoaster ride fueled by worries of a tech bubble.&nbsp;The scramble to snap up all things AI has helped propel equities skywards this year, pushing several companies to records &mdash; with chip titan Nvidia last month becoming the first to top $5 trillion.&nbsp;But investors have grown increasingly fearful that the vast sums pumped into the sector may have been overdone and could take some time to see profits realized, leading to warnings of a possible market correction.&nbsp;That has been compounded in recent weeks by falling expectations the Federal Reserve will cut rates for a third successive time next month as stubbornly high inflation overshadows weakness in the labor market.&nbsp;However, risk appetite was given a much-needed shot in the arm Friday when New York Fed boss John Williams said he still sees &quot;room for a further adjustment&quot; at the bank&#39;s December 9-10 policy meeting.&nbsp;The remarks saw the chances of a cut shoot up to about 70 percent, from 35 percent earlier. Focus is now on the release this week of the producer price index, which will be one of the last major data points before officials gather, with other key reports postponed or missed because of the government shutdown. &quot;The reading carries heightened importance following the postponement of October&#39;s personal consumption expenditures report, originally scheduled for 26 November, which removes a key datapoint from policymakers&#39; assessment framework,&quot; wrote IG market analyst Fabien Yip. &quot;A substantially stronger-than-expected PPI outcome could reinforce concerns that inflationary pressures remain entrenched, potentially constraining the Fed&#39;s capacity to reduce rates in December despite recent labor market softening.&quot; After Wall Street&#39;s rally Friday capped a torrid week for markets, Asia mostly started on the front foot. Hong Kong and Seoul jumped more than one percent, while Sydney, Singapore, Wellington and Taipei were also well up, though Shanghai and Manila retreated. US futures advanced. Tokyo was closed for a holiday. But while the mood is a little less fractious than last week, uncertainty continues to weigh on riskier assets, with bitcoin hovering around $87,000. While that is up from its seven-month low of $80,553, it is still sharply down from its record $126,200 hit last month. Key figures at around 0230 GMTHong Kong - Hang Seng Index: UP 1.4 percent at 25,568.08 Shanghai - Composite: DOWN 0.1 percent at 3,829.71 Tokyo - Nikkei 225:&nbsp;Closed for a holiday Dollar/yen: UP at 156.70 yen from 156.39 yen on Friday Euro/dollar: DOWN at $1.1515 from $1.1519 Pound/dollar: DOWN&nbsp;at $1.3096 from $1.3107 Euro/pound:&nbsp;UP at 87.92 pence from 87.88 pence West Texas Intermediate:&nbsp;DOWN 0.2 percent at $57.93 per barrel Brent North Sea Crude: DOWN 0.2 percent at $62.44&nbsp;per barrel New York - Dow: UP 1.1 percent at 46,245.41&nbsp;(close) London - FTSE 100: UP 0.1 percent at 9,539.71 (close)

Business

The scramble to snap up all things AI has helped propel equities skywards this year, pushing several companies to records — with chip titan Nvidia last month becoming the first to top $5 trillion.

Asian stocks rise as US rate hopes soothe nerves after torrid week

HONG KONG: Stocks jumped on Wednesday as trade war fears were overshadowed by comments from Federal Reserve Chairman Jerome Powell, who suggested the bank would cut interest rates again this month.&nbsp;After a volatile couple of days characterized by a fresh flare-up in China-US tensions, investors took the opportunity to jump back into the market and resume a months-long, tech-fuelled rally.&nbsp;Powell has for most of the year walked a fine line between trying to keep a cap on US inflation while also supporting the labor market, even as he faced a barrage of abuse from President Donald Trump for not lowering borrowing costs soon enough.&nbsp;And while price gains continue to outpace the bank&#39;s target pace, a series of weak readings has forced him to turn his focus on jobs, and last month announced the first rate cut since December.&nbsp;And on Tuesday, he indicated more were on the way.&nbsp;&quot;In this less dynamic and somewhat softer labor market, the downside risks to employment appear to have risen,&quot; said Powell, adding that longer-term inflation expectations remained aligned with the Fed&#39;s two-percent goal.&nbsp;&quot;Rising downside risks to employment have shifted our assessment of the balance of risks,&quot; he said, adding there was &quot;no risk-free path for policy as we navigate the tension between our employment and inflation goals.&quot;&nbsp;Powell also hinted that monetary policymakers could soon stop reducing the size of its holdings of bonds and other instruments bought in vast quantities during the pandemic to keep borrowing rates low and support the economy.&nbsp;The bank has a dual mandate from Congress to act independently to tackle both inflation and employment.&nbsp;No official jobs data has been published for September because of the US government shutdown, but private sector figures point to a marked slowdown in hiring last month.&nbsp;US markets ended mostly down but well off their morning lows, and Asia was on the front foot.&nbsp;Hong Kong, Tokyo, Taipei and Seoul all climbed more than one percent, while Sydney, Seoul, Singapore and Wellington also advanced.&nbsp;Shanghai rose, with little negative reaction to data showing Chinese consumer prices fell in September, indicating consumer sentiment remains weak.&nbsp;Powell&#39;s remarks helped investors turn from the latest trade salvos between Washington and Beijing, with Trump last week threatening 100-percent tariffs owing to Chinese rate-earth measures.&nbsp;While the US president tempered his rhetoric Sunday, China appeared to stoke the row by imposing sanctions on five American subsidiaries of South Korean shipbuilder Hanwha Ocean, accusing them of supporting Washington&#39;s investigation into the shipping industry.&nbsp;Still, there are hopes the row can be defused, with Trump telling reporters at the White House that &quot;we have a fair relationship with China, and I think it&#39;ll be fine. And if it&#39;s not, that&#39;s OK too.&quot;&nbsp;&quot;We have a lot of punches being thrown, and we&#39;ve been very successful.&quot;&nbsp;Meanwhile, US Trade Representative Jamieson Greer told CNBC that senior officials had spoken on Monday about the rare earth dispute and gave a broadly upbeat view.&nbsp;&quot;We&#39;ve been pretty successful in finding a path forward with them in the past, so we think we&#39;ll be able to work through it,&quot; he said in an interview.&nbsp;Key figures at around 0230 GMT&nbsp;Tokyo - Nikkei 225: UP 1.3 percent at 47,463.31 (break)&nbsp;Hong Kong - Hang Seng Index: UP 1.5 percent at 25,826.42&nbsp;Shanghai - Composite: UP 0.4 percent at 3,881.03&nbsp;Euro/dollar: UP $1.1621 from $1.1604 on Tuesday&nbsp;Pound/dollar: UP at $1.3348 from $1.3319&nbsp;Dollar/yen: DOWN at 151.17 yen from 151.74 yen&nbsp;Euro/pound: DOWN at 87.06 pence from 87.13 pence&nbsp;West Texas Intermediate: FLAT at $58.71 per barrel&nbsp;Brent North Sea Crude: FLAT at $62.40 per barrel&nbsp;New York - Dow: UP 0.4 &nbsp; percent at 46,270.46 (close)&nbsp;London - FTSE 100: UP 0.1 percent at 9,452.77 (close)

After a volatile couple of days marked by a fresh flare-up in China-US tensions, investors seize the opportunity to re-enter the market and resume a months-long, tech-fueled rally.

Asian markets rally as Fed cut hopes trump trade war fears

HONG KONG: Most Asian markets rose Monday, tracking gains on Wall Street, following US inflation figures that met expectations and soothed concerns about Donald Trump&#39;s latest tariff salvo.&nbsp;However, investors were keeping a wary eye on Washington, where lawmakers have failed to reach a funding compromise to keep the government running, which observers say could affect the release of key data.&nbsp;All three main indexes in New York ended in the green on Friday, snapping three straight losses following news that the Federal Reserve&#39;s preferred gauge of inflation rose in line with expectations, giving the bank room to cut interest rates again.&nbsp;While the 2.7 percent reading on the August personal consumption expenditures (PCE) index was up from 2.6 percent in July and well above the Fed&#39;s two percent target, policymakers are focusing on supporting the labor market after a string of weak jobs readings.&nbsp;Their cut earlier this month &mdash; the first since December &mdash; came as a closely watched guide indicated two more were in the pipeline before January.&nbsp;Attention now turns to the key non-farm payrolls (NFP) report due Friday.&nbsp;However, there are concerns that could be postponed by a possible government shutdown this week as US politicians struggle to reach a funding deal, with some analysts suggesting the Labor Department could be hit.&nbsp;With a deadline for a deal coming on Tuesday, congressional leaders on both sides are due to meet President Trump to try to resolve the issue, which could see some key services closed down.&nbsp;Hakeem Jeffries, the Democratic House leader, said on ABC that he was &quot;hopeful&quot; that a deal could be struck before the Tuesday cutoff.&nbsp;His colleague Chuck Schumer, the Democrats&#39; Senate leader, echoed that guarded optimism and said any potential breakthroughs would depend on Trump&#39;s Republicans.&nbsp;Trump has struck a defiant tone in pushing for his own agenda and last week cancelled a meeting to discuss the stalemate with senior opposition leaders, which will instead take place on Monday.&nbsp;&ldquo;If we hear early this week that the NFP report will be delayed (potentially until the govt re-opens), traders may recalibrate their approach to risk and increase their sensitivity to&rdquo; other jobs figures, said Pepperstone&#39;s Chris Weston.&nbsp;And economists at Bank of America warned that the longer the row went on, the more painful it would be for the world&#39;s top economy.&nbsp;&quot;The economic effects of a shutdown are typically modest and short-lived. Though the drag grows with the length of the shutdown, and potential federal layoffs could have more lasting effects,&quot; they wrote.&nbsp;Still, investors in most markets were in a positive mood, building on Wall Street&#39;s gains.&nbsp;Hong Kong and Seoul led the way, rising more than one percent each, while Shanghai, Sydney, Singapore, Wellington, Manila and Jakarta also advanced.&nbsp;Tokyo slipped, though the finance arm of Sony soared more than 30 percent on its debut after being spun off by the tech titan to focus on its entertainment and image sensor business.&nbsp;Sony Financial Group rocketed to as much as 210 yen in the morning, from the 150 yen it was set at last week.&nbsp;Oil prices sank on speculation OPEC+ will increase output, fanning concerns of a glut. The drop followed last week&#39;s rally on the back of mounting tensions between NATO countries and Russia, increasing the possibility of fresh sanctions on Moscow.&nbsp;Key figures at around 0230 GMTTokyo - Nikkei 225: DOWN 1.0 percent at 44,892.52 (break)&nbsp;Hong Kong - Hang Seng Index: UP 1.5 percent at 26,506.83&nbsp;Shanghai - Composite: UP 0.1 percent at 3,833.33&nbsp;Euro/dollar: UP at $1.1725 from $1.1701 on Friday&nbsp;Pound/dollar: UP at $1.3431 from $1.3405&nbsp;Dollar/yen: DOWN at 148.96 yen from 149.51 yen&nbsp;Euro/pound: DOWN at 87.28 pence from 87.30 pence&nbsp;West Texas Intermediate: DOWN 0.8 percent at $65.19 per barrel&nbsp;Brent North Sea Crude: DOWN 0.7 percent at $69.65 per barrel&nbsp;New York - Dow: UP 0.7 percent at 46,247.29 (close)&nbsp;London - FTSE 100: UP 0.8 percent at 9,284.83 (close)

A man walks on Wall St. outside the NYSE in New York

Investors are keeping a wary eye on Washington, where lawmakers have failed to reach a funding compromise to keep the government running, which observers say could affect the release of key data.

Most Asian markets track Wall Street higher after US inflation data

TOKYO: Asian shares were trading mixed Tuesday in the absence of key market-driving news in the region, after a seemingly relentless rally continued on Wall Street. Tokyo trading was closed for a national holiday. Australia&#39;s S&amp;P/ASX 200 climbed 0.4% to 8,845.90. South Korea&#39;s Kospi added 0.6% to 3,488.23. Hong Kong&#39;s Hang Seng slipped 1.0% to 26,080.91, as investors continued to watch ongoing talks about US tariffs. The Shanghai Composite dropped 0.7% to 3,800.21. On Wall Street, the S&amp;P 500 rose 0.4% after erasing a modest loss from the morning. The Dow Jones Industrial Average added 66 points, or 0.1%, and the Nasdaq composite climbed 0.7%. It was the third straight day where all three indexes set an all-time high. &ldquo;Every time the market seems to be running out of momentum, it fools most of us by pushing to higher heights,&rdquo; said Jay Woods, chief market strategist at Freedom Capital Markets. A familiar face was again the strongest force lifting the market: Nvidia. Wall Street&rsquo;s most valuable company rose 3.9% after announcing a partnership to train and run OpenAI&rsquo;s next-generation artificial-intelligence models. As part of the deal, Nvidia will invest up to $100 billion in OpenAI. Oracle also pushed the market higher after climbing 6.3%. It named Clay Magouyrk and Mike Sicilia as its CEOs, with current CEO Safra Catz becoming executive vice chair of the technology company&rsquo;s board. Some of the market&rsquo;s sharpest action was among companies agreeing to buy one another. Pfizer said it would buy Metsera and its pipeline of medicines to potentially treat obesity in a deal initially valuing it at $4.9 billion. The payout for Metsera investors could go up sharply if its candidates win approval from federal regulators and achieve other milestones. Metsera&rsquo;s stock jumped 60.7%, and Pfizer&rsquo;s edged up by less than 0.1%. ODP, which runs Office Depot and Office Max, leaped 32.9% after Atlas Holdings agreed to buy it in a deal valued at roughly $1 billion. All told, the S&amp;P 500 rose 29.39 points to 6,693.75. The Dow Jones Industrial Average added 66.27 to 46,381.54, and the Nasdaq composite climbed 157.50 to 22,788.98. Stocks have surged since April on hopes that Trump&rsquo;s tariffs won&rsquo;t derail global trade and that the Fed will deliver several cuts to interest rates to boost the economy. The Fed made its first cut of the year last week, and officials indicated more could arrive through the end of this year and into next. The US stock market still faces challenges, though. Chief among them is if the Fed does not cut interest rates as many times as investors expect. The Fed is wary because lower rates can give inflation more fuel, and inflation has stubbornly remained above its 2% target. An update on Friday will show how much prices are rising for&nbsp;US households based on the Fed&rsquo;s preferred measure of inflation, and economists expect it to show a slight acceleration from last month. In the bond market, Treasury yields held relatively steady. The yield on the 10-year Treasury remained at 4.14%, where it was on Friday. In energy trading, benchmark&nbsp;US crude lost 37 cents to $61.91 a barrel. Brent crude, the international standard, fell 41 cents to $66.16 a barrel. In currency trading, the&nbsp;US&nbsp;dollar rose to 147.76 Japanese yen from 147.74 yen. The euro cost $1.1798, inching down from $1.1802.

 A currency trader passes by a screen showing the Korea Composite Stock Price Index (KOSPI), top center left, and the foreign exchange rate between US dollar and South Korean won, top center, at the foreign exchange dealing room of the Hana Bank headquart

Asian stocks were mixed, rising in Australia and South Korea but falling in Hong Kong and Shanghai. Wall Street hit record highs, boosted by Nvidia’s AI deal, Oracle’s leadership changes, and major acquisitions by Pfizer.

Articles tagged with "Asian stocks"

Asian stocks rise as US rate hopes soothe nerves after torrid week

Asian markets rally as Fed cut hopes trump trade war fears

Most Asian markets track Wall Street higher after US inflation data

Asian markets mixed as US stocks reach new highs