Asian stocks bounce back, led by China

<p>Chinese authorities said the local government will increase purchases of stocks if needed.</p>

Asian stocks rebounded today (July 29th), which Chinese shares taking the lead after Beijing reiterated that it will do what is necessary to stabilise financial markets.

After seesawing in a volatile session, China's Shanghai Composite index soared 3.5 per cent after the China Securities Regulatory Commission said the local government will increase purchases of stocks if needed.

In addition, the central bank injected cash into money markets and hinted at more policy easing measures.

Meanwhile, investors are awaiting a Federal Reserve statement after a two-day policy meeting, which is expected to provide further clues on the timing of a US rate increase.

China's Shanghai Composite index soared 3.5 per cent to 3790.26, the Hang Seng index was up 0.5 per cent to 24619.45 and Australia's S&P ASX 200 index gained 0.7 per cent to 5624.16. Japan's benchmark Nikkei 225 edged down 0.1 per cent to 20302.91, while South Korea's Kospi index remained flat at 2037.62.

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