Asian stocks rose, boosted by gains in Japanese shares as the yen held losses before a Bank of Japan policy meeting. Investors awaited minutes from the Federal Reserve after U.S. inflation data bolstered the case for higher interest rates.
The MSCI Asia Pacific Index gained 0.3 percent to 132.26 as of 9:04 a.m. in Tokyo. Japan’s Topix index added 0.8 percent after the yen slid 0.2 percent against the dollar on Tuesday. The Standard & Poor’s 500 Index lost 0.1 percent on Tuesday as data showed consumer prices excluding food and fuel rose 0.2 percent in October, just as much as in September, and in line with economist forecasts. The Fed releases minutes from its last meeting Wednesday while the BOJ gives a policy statement on Thursday.
The MSCI Asia Pacific gauge rallied 8.9 percent through Tuesday from its September low, even as traders boosted the odds of a U.S. rate increase in December to 66 percent. As the BOJ begins its two-day meeting, all 41 economists surveyed by Bloomberg predict no change to already record stimulus despite a report Monday showing the economy slipped back into recession. Last month, 44 percent of economists said the BOJ would add to easing on Oct. 30.