Asian stock markets mirrored Wall Street’s positive trend on Wednesday, with an uptick driven by renewed hopes for a Federal Reserve rate cut following signs of U.S. labor market weakness.
Traders anticipate that the Fed will implement a quarter-point rate cut next week, boosting confidence in equities globally. Concurrently, gold steadied after Tuesday’s record highs, while the dollar strengthened slightly. This momentum is supported by upcoming U.S. inflation figures that are crucial for the Fed’s September 17 decision.
The energy sector experienced volatility as crude oil prices remained high following Israel’s recent attack on Hamas leadership in Qatar. As Asian markets showed gains, U.S. indices like the S&P 500, Nasdaq, and Dow Jones enjoyed record closes overnight, reflecting optimism in the financial sector.
(With inputs from agencies.)
