Asian stocks mostly rose Friday ahead of a closely watched speech by Federal Reserve boss Kevin Warsh, which investors will parse for clues on interest rates amid elevated inflation and the Middle East crisis. With the euphoria from Nvidia's earnings fading, attention returns to the economy and whether the US central bank will tighten policy. Last month's Fed meeting kept borrowing costs on hold, but three policymakers dissented in favor of a hike, and inflation, though easing slightly, remains well above the two percent target. Worries about persistent price rises, fueled by energy costs from the Iran war, have pushed long-term Treasury yields up. Traders hope Warsh's speech at Jackson Hole will offer insight, but his last appearance was criticized as ambiguous, and analysts warn he may disappoint. Stephen Innes of Quintex Intel called the address "the most consequential central bank speech left this year," noting recent data reduce the need for tighter policy, giving Warsh room to reassert the Fed's inflation-fighting message without signaling imminent action. Asian markets were broadly higher, with Tokyo, Hong Kong, Shanghai, Sydney, Singapore, Jakarta, and Taipei rising, while Seoul, Wellington, and Manila retreated. Wall Street provided a positive lead, though gains were tech-driven. Oil prices edged down but remain at risk of spiking as efforts to reopen the Strait of Hormuz continue.
NVIDIA CorporationFed may tighten policy amid elevated inflation and Middle East crisis, pushing yields up.
