Asian stocks open on green on US rate cut hopes

Asian stocks opened last session of the week on green, as investors are optimistic that the US interest rates could be cut by the Federal Reserve by the end of the month, especially after the FOMC member and Chairman of the New York Federal Reserve, John Williams, stressed the importance of facing the slow growth signs as quick as possible.

FOMC member and Chairman of the New York Federal Reserve, John Williams, said yesterday that a double rate cut this year could support a higher yield curve, adding that the move is a guarantee against any possible slowdown later, pointing out that inflation remains below the Fed's target of 2% , and that the devaluation of the currency to increase competitiveness is not a good idea.

In another context, we also followed on Thursday the remarks of US Treasury Secretary Steven Mnuchin, in which he said that a conference call with China's trade negotiators are scheduled later this week as part of the discussions of the two sides and their efforts to resolve the trade tensions between the two largest economies in the world and to work on reaching a trade agreement between Washington and Beijing.

On Tuesday, US President Donald Trump said the road is still long before he could talk about a trade deal with China, noting that both the EU and China were injecting funds into their financial system, and that his administration could impose tariffs on imports from China if desired, adding that the cut in the federal funds rate will support the stock markets and their rise.

Japan's stocks rose during today, with the Topix index gaining 1.65% to 347.99 points and reached 21,394.23. Nikkei 225 index gained 1.65% to 27.59 points and reached 1,561.86.

China's benchmark index CSI 300 rose by 1.19% (44.83 points) reaching 3,813.23. The Shanghai Composite Index rose 0.96% and gained 27.98 points to reach 2,929.16.

Hong Kong's Hang Seng rose 0.99% (282.11 points) reaching 28,843.77. South Korea's Kospi Index rose 1.08% (22.35 points) and reached 2,088.90.

To the NZX 50 index of New Zealand shares, which rose by 0.32% (34.30 points) to reach 10,775.39. On the other hand, the S&P/ASX 200 index of Australian shares rose by 0.76% (50.69 points) to reach 6,699.80.