Nikkei 225 Bounces Back as Fed Rate Hike Expectations Ease

The Nikkei 225 index in Japan rebounded on Friday, rising 1.07% to 64,902 points and ending a four-session losing streak.

This recovery came as investors reassessed expectations for the US Federal Reserve's September policy decision.

Market sentiment improved after Fed Governor Christopher Waller indicated that he would favour leaving interest rates unchanged if inflationary pressures continue to moderate.

The Nikkei 225 remained on track for a weekly decline of more than 2%, with elevated crude oil prices and higher global bond yields continuing to weigh on risk appetite.