Currency traders work near the screens showing the Korea Composite Stock Price Index at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Friday, Nov. 11, 2022. Asian stock markets surged Friday after U.S. inflation eased by more than expected, spurring hopes the Federal Reserve might scale down plans for more interest rate hikes. by more than expected, spurring hopes the Federal Reserve might scale down plans for more interest rate hikes.
The announcement “drove a ‘more dovish’ calibration of interest rate expectations,” said Yeap Jun Rong of IG in a report. Hong Kong's Hang Seng index soared to 16,994.66 and the Nikkei 225 in Tokyo gained 2.9% to 28,229.68. Investors were reassured that U.S. inflation was declining from its June peak of 9.1%, though forecasters said the Fed's campaign to cool price rises was far from over.
Hiking interest rates won't fix corporate greed.