{"id":67869,"date":"2025-12-19T08:39:40","date_gmt":"2025-12-19T08:39:40","guid":{"rendered":"https:\/\/www.pantheregroup.com\/2025\/12\/19\/asian-shares-climb-on-fed-rate-cut-expectations\/"},"modified":"2025-12-19T08:39:40","modified_gmt":"2025-12-19T08:39:40","slug":"asian-shares-climb-on-fed-rate-cut-expectations","status":"publish","type":"post","link":"https:\/\/www.pantheregroup.com\/2025\/12\/19\/asian-shares-climb-on-fed-rate-cut-expectations\/","title":{"rendered":"Asian Shares Climb On Fed Rate Cut Expectations"},"content":{"rendered":"
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Asian stocks advanced on Friday as concerns over artificial intelligence spending and valuations eased, and signs of cooling U.S. inflation bolstered expectations of looser U.S. monetary policy next year. <\/p>\n

The Japanese yen extended losses for a second day running, helping ease fears of a sharp yen carry trade unwind. Gold ticked lower but hovered near record highs. <\/p>\n

Oil was on track for a second weekly loss as investors weighed the risk of a global surplus against concerns over Venezuelan supply disruptions. <\/p>\n

China’s Shanghai Composite index closed 0.36 percent higher at 3,890.45 after a choppy session. <\/p>\n

Geopolitics remained in the spotlight after the Trump administration announced a massive package of arms sales to Taiwan valued at more than USD 10 billion.<\/p>\n

Hong Kong’s Hang Seng index rose 0.75 percent to 25,690.53, extending gains for a third consecutive session. <\/p>\n

Japanese markets<\/span> rallied, the yen weakened and Japan’s 10-year government bond yield jumped to a 26-year peak after the Bank of Japan raised its key policy rate 25 bps to 0.75 percent, its highest level since September 1995, signaling a broader policy shift amid rising uncertainties surrounding the U.S. economy<\/span> and trade policies.<\/p>\n

Data showed earlier in the day that Japan’s consumer inflation remained well above the central bank’s 2 percent target in November.<\/p>\n

The Nikkei average jumped 1.03 percent to 49,507.21 while the broader Topix index settled 0.80 percent higher at 3,383.66.<\/p>\n

Artificial intelligence-linked shares soared, with technology<\/span> investor SoftBank Group surging 6.1 percent after a solid outlook from Micron Technology. Advantest and Tokyo Electron climbed 2-3 percent. <\/p>\n

Seoul stocks closed higher, led by carmakers and defense stocks. The Kospi average climbed 0.65 percent to 4,020.55. Hyundai Motor gained 2.1 percent and Hanwha Aerospace surged 3.9 percent. <\/p>\n

Australian markets eked out modest gains after the release of unexpectedly tamer-than-expected U.S. inflation data. <\/p>\n

The benchmark S&P\/ASX 200 edged up by 0.39 percent to 8,621.40 while the broader All Ordinaries index closed 0.48 percent higher at 8,918.30. <\/p>\n

Across the Tasman, New Zealand’s benchmark S&P\/NZX-50 index gained 0.58 percent to close at 13,333.40.<\/p>\n

Overnight, U.S. stocks closed higher as a softer-than-expected consumer price index inflation reading for November added to bets that the Federal Reserve will cut interest rates further in the new year.<\/p>\n

Data showed the consumer price index rose 2.7 percent in November from a year earlier and 2.6 percent on a “core” basis \u2014 both figures coming in below economists’ expectations.<\/p>\n

Another report showed first-time claims for unemployment benefits declined roughly in line with economist estimates in the week ended December 13th.<\/p>\n

Micron Technology’s better than expected quarterly results and blowout guidance also sparked a rebound in technology shares.<\/p>\n

The tech-heavy Nasdaq Composite jumped 1.4 percent, while the S&P 500 gained 0.8 percent and the Dow edged up by 0.1 percent to snap their four-day losing streaks. <\/p>\n<\/p>\n

Business News<\/p>\n<\/div>\n