Stocks Rise for Fourth Month on US Easing Hopes – Asia Market Wrap

With the possibility of lower interest rates and expectations of a gentle landing for the US economy, global markets are nearing a fourth month of gains.

Asia’s gains were led by Chinese stocks, as optimism was enhanced by a number of positive earnings reports and the yuan’s ascent to levels not seen in over a year. Aside from US futures, stocks in Australia, Hong Kong, and Japan also increased before to the release of the Federal Reserve’s favoured inflation indicator later in the day.

The 10-year bond yield in Japan increased little as data indicated that price pressures in Tokyo accelerated in August, supporting the argument for additional monetary policy normalisation. A two-day decline in the yen was expected to end, and Treasuries were expected to record their longest monthly winning streak in three years.