Asian stocks are rising in the leadership of the technological sector

Asian shares for the fourth session in a row Tuesday have risen, as the optimism in Wall Street continued before an expected reduction in interest rates of the Federal Reserve, which reflects positively about trade in the region. The “MSCI” index of the Asia -Pacific region has reached its highest level since February 2021, and technology companies such as “Taiwan for sediments” and “Ali baby” were one of the largest shareholders in this rise. The shares rose in Japan, South Korea and Hong Kong, as it dropped in Australia. This momentum came after the increase in the expectation of lowering interest rates by the US Central, which spurred the markets to approach record levels amid the hope that facilitating monetary policies will increase the profits of US businesses. In Japan, the effects of the recent political unrest in the markets were reflected, as the “Nikai 225” index rose to a new record during the morning session. State bonds were also reinforced after decreasing on Monday, in light of the escalation of expectations with a more expansionist financial policy, after Prime Minister Shikiro Ishiba announced his intention to resign. US stocks recovered on Monday after withdrawing in the previous session due to a poor job report. Although the upcoming data is expected to show a slowdown in reducing inflation, the traders expect the Federal Reserve to make about three interest rates this year, from the meeting this month. Meanwhile, Treasury bond yields stabilized, and the yield on bonds remained at the lowest level since 2022, while the dollar fell and gold continued its rise to a new record. Read more: The price of gold still records new standard levels with the support of interest -reducing interest, America struggles to overcome the scarcity of Asian stimuli, Frederick Newman, chief economist of the Asia region at HSBC Bank: “Over the next few days, Asian markets are likely to deduce its signals from the United States, due to the lack of regional motivations.” He added that the US inflation data would help brighten the interest rate, not only for the Federal Reserve, but also for Asian central banks, including the Chinese People’s Bank. China’s growth rate dropped to the worst levels in six months, with the deepening of the fall in shuts to the United States, although the significant increase in sales to other markets helped Beijing to stay on the road of record trade surplus. In a separate context, Indonesian President Prabu Sobanto suddenly rejected the Minister of Finance, Sri Moliani Endrawati, and threatened to increase new financial turmoil in the largest economy in Southeast Asia, after weeks of violent protests against his government. The Indonesian rupee fell against the dollar, and the Indonesia Bank said it would intervene to maintain the stability of the currency. Local shares closed a 1.3% decline on Monday before the announcement, after rumors about the minister’s dismissal affected investors’ trust, and then partially recovered on Tuesday. Prior to the Federal Reserve meeting next week, expectations indicate that the major consumer price index, which will be released on Thursday, will show an increase of 0.3% in August for the second month in a row. For this, the US Labor Statistics office is expected to reveal another reduction in mail numbers, paving the way to lower interest rates. Federal Reserve officials indicated that their fears began to change the risk of inflation caused by customs duties to the weakness of the labor market. The stability of inflation expectations indicates that the fees can be a price shock for once, even if it takes a few months to go to the economy. “Although the report showed a slowdown in work growth on September 5, it does not indicate a entry into stagnation. Full growth, stable inflation expectations, returns and expectations of reducing interest rates are all indications of an optimistic view of stocks,” the report of the world market strategy said. Megan Hornman of Verdence Capital, a table on the series and number of interest shortages, believes that expected inflation data will not be sufficient to change the chances of reducing interest by the federal in September. The biggest question for current investors is how many tracks we can see afterwards. “After inflation data this week, we will get a better picture of what the federal interest rates can do. However, we have not yet exceeded the risk stage on inflation, and the federal may offer the ‘loud’, which reminds investors with its double mandate, especially if inflation continues to move away from his target.” to form a third government in just one year.