Asian Stocks Rise on China's Economic Stimulus

Asian stocks surged on Friday, driven by China's economic stimulus measures and Japan's leadership transition to Shigeru Ishiba as prime minister. The Nikkei 225 index rose over 2.3% following Ishiba's selection, while the Hang Seng and Shanghai Composite indices also saw significant gains of 2.4% and 2.7%, respectively. China's central bank's decision to cut reserve requirements for banks aims to support the struggling property sector and overall financial markets, although industrial profits fell nearly 18% year-on-year in August, highlighting ongoing economic challenges. In Europe, shares rose modestly, with France's CAC 40 and Germany's DAX benefiting from a decline in inflation rates. The UK FTSE 100 also gained as mining stocks rallied on optimism from China's fiscal pledges, despite declines in oil-related stocks due to falling crude prices. Investors remain cautious about the effectiveness of these measures in driving sustainable growth amid concerns about a potential slowdown in hiring in the U.S.