Asian stocks showed a mixed performance on Monday following a rally in U.S. stocks, which neared record levels amid expectations of an imminent interest rate cut by the Federal Reserve to support the economy. U.S. futures saw a slight decline, while oil prices climbed after Israel and Hezbollah engaged in heavy fire exchange, raising concerns about potential supply disruptions.
Federal Reserve Chair Jerome Powell signaled a shift towards lowering the main interest rate from a two-decade high, stating that policy adjustments were necessary. The dovish stance led to a strengthening of the yen against the dollar, with the dollar-yen rate falling in early Monday trading.
