Global Markets Rise on Rate-Cut Optimism and Record Wall Street Performance
European equity futures and Treasuries rose as traders ignored policymakers' warnings about US interest-rate cuts. Asian benchmarks also advanced, while Chinese gauges dipped slightly. The Bank of Japan's decision to maintain its current policy is expected to support Japanese stocks in the short term. Expectations for policy changes have eased, but JPMorgan Chase & Co. maintains an overweight stance on domestic demand and financial stocks in Japan. Meanwhile, Chinese banks held their benchmark lending rates, and Richmond Federal Reserve President Thomas Barkin reinforced a dovish tone, suggesting the US central bank would lower interest rates if inflation progress continued. Investors are awaiting key data from the US to solidify their rate-cut expectations.