Most Asian equities climbed on Thursday, led by Taiwan and South Korea, while regional currencies held steady as investors looked forward to the US Federal Reserve’s annual Jackson Hole symposium for clarity on economic outlook and policy direction.
Taiwan and South Korea stocks rebounded, climbing 1.5 percent and more than 1.2 percent respectively, after sharp declines in the previous session, as a Wall Street tech selloff dragged Asian benchmarks lower.
Elsewhere, most equities advanced with the Malaysian benchmark rising 0.5 percent to touch a six-month high. Shares in Singapore .STI edged up 0.2 percent.
Investors are now focused on the Fed’s three-day annual symposium in Jackson Hole, which commences later in the day.
While the event will draw central bankers from around the world, the spotlight is on Fed Chair Jerome Powell’s speech on Friday for signals on the likelihood of a September interest rate cut.
Separately, minutes from the US central bank’s July meeting showed that only two Fed policymakers supported a rate cut, while the rest favoured maintaining a status quo.
Meanwhile, markets grew uneasy over the Fed’s independence after US President Donald Trump called on Fed Governor Lisa Cook to resign, citing mortgage-related allegations raised by one of his political allies.
Trump has also repeatedly criticised Powell for moving too slowly on rate cuts, heightening investor unease about the Fed’s independence and credibility.
The dollar slipped briefly following the news, before steadying in Asian trade, leaving regional currency markets largely subdued.
The South Korean won and the Thai baht both slipped 0.1 percent, while the Philippine peso and the Malaysian ringgit firmed 0.2 percent and 0.1 percent, each.
