Asian stocks rose, paring their first drop in four weeks, after the Bank of England eased policy and as investors looked to Friday’s U.S. jobs report for hints as to the Federal Reserve’s next steps.
The MSCI Asia Pacific Index edged up 0.1 percent to 135.46 as of 9:01 a.m. in Tokyo, heading for a 0.7 percent decline this week. Japan’s Topix index added 0.2 percent after the Bank of Japan boosted daily exchange-traded fund purchases. The Bank of England cut rates to a record Thursday while unveiling a stimulus package aimed at containing the fallout from Brexit. U.S. payrolls are expected to rise in July, returning to a growth path, according to a Bloomberg survey of economists.
Asian equities are sputtering after rallying in July, their best month since March, even as countries from Japan to the U.K unveil fresh stimulus to keep global growth on track. Japan’s Topix has lost 17 percent this year as the yen surged despite a move to negative interest rates announced in January and a new round of fiscal stimulus unveiled last week.