Asia-Pacific markets rebound on revived Fed cut hopes

Asia-Pacific markets started the week with an increase after the New York Fed President signaled that a third interest rate cut this year could be made.

On Friday, New York Federal Reserve President John Williams suggested the Fed could cut its key interest rate from here because labor market weakness poses a greater economic threat than higher inflation.

The Fed has only one meeting left for 2025, to be held in the USA on December 9-10. The target rate is currently between 3.75% and 4.00%.

Fed funds futures are currently priced at around a 70% chance of a quarter-point rate cut. CME FedWatch tool.

Asian markets fell broadly last week as traders fled tech stocks and major companies such as Softbank, Samsung Electronics and Baidu fell.

South Korea’s kospi It rose 1.13%, while small-cap Kosdaq reversed its gains and fell 0.41%. Samsung gained over 4.1% in early trading.

Australia’s S&P/ASX 200 Index rose 0.94%, recovering from Friday’s 1.59% loss.

Shares of the logistics group rose on Monday qube Up almost 20% after Macquarie Asset Management made an offer 11.6 billion Australian dollars ($7.49 billion) was spent to acquire the company.

Mining giant BHP also rose about 0.4% after the company announced this. I don’t pay attention anymore Merger with British miner Anglo American.

of hong kong Hang Seng index It increased by 1.06%, while the China CSI 300 index increased by 0.16%.

Japanese markets are closed for a public holiday.

All three major indices recovered in the US on Friday; The Dow Jones Industrial Average was up 1.08%, the Nasdaq Composite was up 0.88% and the S&P 500 was up 0.98%.

—CNBC’s Sean Conlon and Pia Singh contributed to this report.