Japan’s Nikkei gains 2 per cent after weaker US hiring cools Fed rate bets

Japanese shares lead a thin Asian session

Japan’s Nikkei stock index rose 2 per cent in Monday’s Asian trading after the previous Friday’s US employment figures prompted investors to reduce expectations for an October rate increase. The move followed gains in US shares, where the Nasdaq had closed at a record and semiconductor shares had rallied. Japanese equities advanced alongside the broader regional market, although the benchmarks covered different groups of stocks.^{[1], [2]}

MSCI’s Asia Pacific equities index gained 0.4 per cent, while its broad index excluding Japan advanced 0.9 per cent. China, South Korea and Australia’s New South Wales had market holidays, thinning regional activity. Japan’s Topix gained 0.9 per cent, and on the Australian Securities Exchange (ASX), the S&P/ASX 200 index rose 0.6 per cent in the early session. Trading in the region therefore continued with several major domestic markets closed. S&P 500 futures slipped 0.1 per cent in the Reuters snapshot, while Nasdaq futures were flat.^{[1], [2]}