Asian stocks rallied, following Wall Street's gains, buoyed by confidence that the Federal Reserve could cut interest rates in December and a rebound in technology stocks. Japanese and South Korean stocks rose, while the index of Chinese companies listed in the US also rallied after President Donald Trump and President Xi Jinping resumed talks following last month's tariff truce.

Dovish comments from Federal Reserve Governor Christopher Waller, San Francisco Fed President Mary Daly, and New York Fed President John Williams reignited speculation of an interest rate cut. Currency markets now see a near 90% chance of a December rate cut, while the yield on the 10-year US Treasury bond has fallen to around 4.02%. Many market participants view the November correction as merely a "breathing pause" before a potential December rally.

Elsewhere, gold edged higher after a nearly 2% surge in the previous session, as the prospect of lower interest rates tends to benefit non-yielding bullion. Bitcoin fluctuated again after two days of gains, while oil prices remained stable, supported by risk-on sentiment despite progress in Ukraine peace talks that could increase Russian oil supply to the market.

Looking ahead, the focus shifts to a series of US economic data ahead of Thanksgiving and Black Friday. September retail sales data is expected to show slowing consumption, followed by the release of the producer price index (PPI), durable goods orders, and jobless claims, which will serve as benchmarks in the absence of payroll data. The market hopes this series of data confirms a slowing but not collapsing economy, thereby reinforcing temporary positive sentiment.

Source: Newsmaker.id