Asia Shares Rally On Fed Rate Cut Bets

Asian stocks rose on Monday on renewed speculation that the Federal Reserve would likely ease rates this year, while the yen weakened after a strong surge last week from Tokyo's suspected currency intervention, reported Rae Wee for Reuters.

Trading was subdued in Asia with Japan observing a holiday, though mainland China's markets started the week positively following an extended break.

Trading was subdued in Asia with Japan observing a holiday, though mainland China's markets started the week positively following an extended break. MSCI's broadest index of Asia-Pacific shares outside Japan rose more than 0.5%, while China's blue-chip index gained 1.4%.

Last week, Chinese shares offshore posted substantial gains while mainland markets were closed Wednesday to Friday for the Labor Day holiday.

Hong Kong's Hang Seng Index surged 4.7% last week and logged its longest daily winning streak since 2018 on Friday. It was last down 0.2%. The Nasdaq-listed Golden Dragon China Index soared 5.5% last week.