Asian shares up on Thursday amid US rate cuts expectations

Asian shares rose on Thursday as investors anticipated potential US rate cuts, with the yen weakening against most currencies except the dollar, boosting Japanese stocks, as reported by Reuters.

Gold, oil, and copper prices also surged, benefiting basic materials and energy companies. Positive factory surveys, especially in China, fuelled optimism about global growth.

JPMorgan analysts noted a steady improvement in manufacturing surveys, indicating broad momentum in the coming months. The global manufacturing output PMI expanded in March, reflecting positive results across major economies.

MSCI’s Asia-Pacific shares index outside Japan increased by 0.4 per cent, with Tokyo’s Nikkei rising 1.6 per cent due to a weaker yen.

European and US futures edged up, supported by Federal Reserve Chair Jerome Powell’s reaffirmation of potential rate cuts. Despite mixed economic data, sentiment remained positive, with markets closely watching the upcoming official payrolls report.

Goldman Sachs revised its forecast for payrolls upward, potentially impacting market expectations for a June rate cut.