Asian Stocks Slide on U.S. Slowdown Concerns: Asian stocks fell to their lowest levels in three weeks on Monday,
led by declines in Japan after U.S. jobs data intensified fears
that the Federal Reserve may have delayed cutting interest rates for too long.

Content:

Asian Stocks Decline

U.S. Inflation Data

European Central Bank

Asian Stocks Drop as U.S. Economic Slowdown Concerns Worsen

Asian stocks fell to their lowest levels in three weeks on Monday, led by declines in Japan,
after U.S. jobs data intensified fears that the Federal Reserve may have delayed cutting interest rates for too long.
Japan’s Nikkei 225 index dropped to its lowest level in a month as recent gains
in the yen impacted the profit outlook for export companies amid slower-than-expected economic growth.
Australia and South Korea stocks also recorded losses, pushing the Asia-Pacific stock index to its lowest since August 16.
The yen, which had previously risen due to the Bank of Japan’s interest rate
hike in July and expectations of a Federal Reserve rate cut traded below 143 yen per dollar.

Markets Await U.S. Inflation Data

Traders are awaiting U.S. inflation data this week amid growing concerns that the Federal Reserve
may have delayed rate cuts too long as recession risks rise.
Treasury Secretary Janet Yellen sought to calm fears over the weekend,
saying she saw no “warning signs” in the financial system.
She reiterated her view that the U.S. economy had achieved a soft landing despite slowing job growth.
In contrast, Federal Reserve Governor Christopher Waller said he was “open” to the possibility of a larger rate cut.

European Central Bank Prepares for Another Rate Cut Ahead of Fed Decision

The European Central Bank will likely cut interest rates on Thursday
in preparation for a U.S. move the following week as the global monetary cycle shifts toward more synchronized easing.
Eurozone officials have indicated they will deliver a second reduction in borrowing costs following the cut in July,
which will be closely watched by investors seeking policy signals for further actions later this year. At least one more cut is expected in 2024.

After the Bank of Canada cut its interest rate on September 4,
the timing of the European Central Bank meeting,
days before the expected initial reduction by the Federal Reserve on September 18,
underscores how major advanced economies are now pivoting more toward supporting economic growth as inflation risks fade.

Asian Stocks Slide on U.S. Slowdown Concerns

Asian Stocks Slide on U.S. Slowdown Concerns

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