Asian stocks bounce back on Japan stimulus hopes

Investors are also focusing on upcoming US jobs data.


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By :  ,  Financial Analyst

Asian stocks bounced back from earlier losses today (September 30th), led by Wall Street, as investors hoped for fresh economic stimulus from the Bank of Japan (BoJ) after the release of data showing the country's domestic demand and exports are sluggish.

"Japan will be inclined to boost both fiscal and monetary stimulus soon if the risks of a slowdown in China do not fade in a few months", Mizuho Bank said in a daily note. "The real question is not if more stimulus may be expected, but rather, how much stimulus will be rolled out, and when."

The Dow Jones Industrial Average and S&P 500 edged up 0.3 and 0.1 per cent respectively overnight.

Investors are also focusing on upcoming US jobs data and clues about when the Federal Reserve will raise interest rates.

Japan's Nikkei 225 rose 2.5 per cent to 17,346.48, Hong Kong's Hang Seng index gained 1.5 per cent to 20,858.26 and China's Shanghai Composite Index added 0.8 per cent to 3,061.86. Australia's S&P/ASX 200 jumped 1.9 per cent to 5,013.00. South Korea's stock market ended the day one per cent higher at 1,962.81.

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