Asian Stocks Mixed Amid Late Wall Street Reversal and Soft US Inflation Data

The Asian markets were mixed on Thursday as investors weighed the impact of softer US inflation data and a sharp late reversal on Wall Street.

Hang Seng futures fell by 0.7%, while South Korea's Kospi lost 0.62%. Japan's Nikkei 225, however, climbed by 1.28% despite the Topix slipping 0.56%.

The US inflation data, which was released on Wednesday, showed that the Personal Consumption Expenditure (PCE) index rose 0.3% month-on-month in August, matching forecasts. Annual PCE inflation came in at 3.4%, well below the 3.7% economists had projected.

The soft US inflation data cut the likelihood of an interest rate rise at the Fed's October meeting, and money markets now see less than a 40% chance of a hike.