Asian Markets Mixed, US Rate Cut Hopes Support Regional Sentiment

February 28, 2026
Global Markets
Reuters

Asian stock markets showed mixed performance on Friday. Hong Kong's Hang Seng Index rose 0.5%, while Singapore's Straits Times Index edged lower. Investors are currently weighing the latest US inflation data against the evolving prospects of interest rate cuts by the Federal Reserve, influencing regional trading strategies.

Major Asian stock indices displayed a mixed performance on Friday. Hong Kong's Hang Seng Index advanced 0.5% to close at 16,850 points, primarily boosted by technology and financial stocks. Concurrently, Singapore's Straits Times Index edged down 0.1% to 3,180 points. Market participants were largely focused on the latest US inflation data and the growing anticipation of potential interest rate cuts by the Federal Reserve around mid-year, which offered underlying support to regional equities. Despite a subdued performance in US markets overnight, hopes for future monetary policy easing prompted some investors to engage in bargain hunting. The Malaysian stock market also felt the influence of this cautiously optimistic sentiment, though overall trading volume remained light.
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