Asian markets rise in response to positive developments in China and US, mirroring gains on Wall Street

Asian stocks rose on Friday, with gains in Hong Kong and Chinese markets driven by China’s efforts to boost its economy. The change in leadership in Japan, following a ruling party election, is not expected to lead to major policy shifts. China’s central bank cut its reserve requirement for banks to support the property industry and financial markets. The Hang Seng in Hong Kong and Shanghai Composite index both saw gains. However, the Shanghai Stock Exchange faced order processing issues causing delays but later resumed trading. Industrial profits in China fell nearly 18% in August. In Japan, the Nikkei 225 index edged higher and Tokyo’s consumer inflation cooled to 2.2%. Micron Technology and Jabil reported stronger profits, helping to boost the S&P 500. Super Micro Computer’s stock tumbled following reports of a Department of Justice probe. In the U.S., reports indicated solid economic growth and low layoffs. The Federal Reserve has been lowering interest rates to support the economy, which is expected to lead to steady growth and strong corporate profits. Benchmark U.S. crude oil prices and the U.S. dollar saw slight changes. This positive market sentiment is indicative of global economic trends and investor confidence.

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