Asian stocks climbed for the first day this week amid speculation central banks will provide additional stimulus to bolster global economic growth.
The MSCI Asia Pacific Index gained 0.4 percent to 125.51 as of 9:04 a.m. in Tokyo, halting three days of losses. U.S. shares rebounded with crude oil on Wednesday ahead of Thursday’s European Central Bank meeting that may provide more insight on the potential for further steps to loosen policy and the trajectory of interest rates. The Reserve Bank of New Zealand unexpectedly cut interest rates to a fresh record low and signaled further easing may be needed, saying it’s concerned by a slump in inflation expectations.
New Zealand’s S&P/NZX 50 Index jumped 0.7 percent, heading for a record close. Reserve Bank Governor Graeme Wheeler lowered the official cash rate by a quarter point to 2.25 percent, a move predicted by just two of 17 economists surveyed by Bloomberg.