Asian Stocks Track Wall Street Gains Ahead Of Central Bank Meetings

Asian stocks started the week with gains ahead of central bank policy meetings in the US and Japan, after a broad rally on Wall Street that capped a tumultuous week.

Taiwan’s Taiex gained 0.7%.

US futures and oil prices rose, the Associated Press (AP) reported. In Tokyo, the Nikkei 225 index surged 2.5% to 38,587.87.

The key focus in Asian markets this week will be the Bank of Japan’s monetary policy meeting on Wednesday, where investors widely expect the central bank to raise its key interest rate from its near-zero level to perhaps up to 0.3%.

The US Federal Reserve will wrap up its policy meeting on Wednesday and is expected to keep its benchmark rate unchanged. But it might provide further support for a rate cut in September.

This week also will bring US jobs data on Friday.

Hong Kong’s Hang Seng added 1.8% to 17,331.24 and the Shanghai Composite index was nearly unchanged at 2,892.10 as official data on Saturday showed that industrial profits rose 3.5% in the first half of 2024 compared with last year.

That was a glimmer of positive news following recent interest rate cuts and stimuli that followed a top-level policy meeting of the ruling Communist Party earlier this month.

Australia’s S&P/ASX 200 advanced 0.8% to 7,988.20. In South Korea, the Kospi jumped 1.2%, to 2,765.05. Elsewhere, Taiwan’s Taiex gained 0.7%. The SET in Bangkok was closed for a holiday. In Tokyo, the Nikkei 225 index surged 2.5% to 38,587.87.