FX168 Financial News (Asia Pacific) Tuesday (September 24) Asian stock markets rose.

The MSCI Asia Pacific index rose by 0.7%. The Hong Kong stock market saw the biggest increase, with major benchmark indices rising by at least 3%, while mainland China indices rose by over 2%. Authorities stated that they are considering establishing a stock stabilization fund. Earlier this month, the benchmark csi 300 index hit a low not seen in over five years. #AsianMarketsUpdate#

US equity index futures edged lower, with the S&P 500 index rising by 0.3% the previous trading day. The index is now just a step away from last week's record high.

Data released on Monday indicated a slight slowdown in US business activity early in September, coupled with worsening expectations. A price index climbed to a six-month high, boosting confidence in achieving a soft landing for the world's largest economy. Investors are now awaiting the Fed's preferred price indicators and US personal spending data later this week.

During the Asian trading session, the yield on the US 2-year Treasury note, sensitive to policy changes, dropped by 1 basis point to 3.58%, while the long-term bond yield remained nearly unchanged. Traders are betting on a nearly 0.75% rate cut by the end of the year, with expectations for at least one more substantial cut.

Chicago Fed President Charles Evans stated that with inflation nearing the Fed's target, attention should shift to the labor market. He suggested, 'This may mean more rate cuts in the next year.'

Minneapolis Fed President Neel Kashkari also highlighted weakness in the job market, indicating his support for another 0.5% rate cut by the end of the year. Atlanta Fed President Raphael Bostic maintained a moderate stance, believing that initiating a rate-cutting cycle with substantial cuts would help bring rates close to a neutral level, but officials should not commit to the pace of substantial adjustments.

In other significant events in Asia, the Reserve Bank of Australia is expected to keep the cash rate at a 12-year high of 4.35% on Tuesday, likely maintaining it until at least February next year. The country's 10-year bond yields saw a slight decrease in early trading.

Gold approaches historical highs as several Federal Reserve officials do not rule out the possibility of significant additional rate cuts. Oil prices have risen slightly due to Israel launching air strikes on Lebanon, resulting in nearly 500 deaths and exacerbating regional tensions.