Asian markets saw a positive trend on Thursday following the Federal Reserve's proactive measures to prevent a recession in the U.S. by implementing a larger-than-expected cut to interest rates. In Tokyo, the Nikkei 225 index surged by 2.5% to 37,284.43, while Hong Kong's Hang Seng gained 1% to reach 17,840.93. The Shanghai Composite index also climbed by 0.8% to 2,738.19, and Taiwan's Taiex experienced a 1% increase. However, South Korea's index was an outlier, declining by 0.3% to 2,566.65.
The Bank of Japan and the Bank of England are currently conducting monetary policy meetings, with no anticipated rate changes. The recent rate cut by the Federal Reserve, the first in over four years, was met with relatively muted reactions from Wall Street, as it had been widely anticipated. The move is aimed at easing the economic slowdown caused by high rates and boosting investment prices across various asset classes.
