According to Bloomberg, stocks in Asia are expected to rise on Thursday following signs of outperformance in shorter-term Treasuries. On Wednesday, two-year yields fell by almost 10 basis points before partially recovering. This movement came after the release of minutes from the latest Federal Reserve policy meeting, which indicated a likely rate cut in September.

In Asia, upcoming data releases include inflation figures from Malaysia, HSBC flash PMIs from India, and unemployment data from Taiwan. Additionally, South Korea is set to announce an interest rate decision. Meanwhile, China has initiated an anti-subsidy investigation into dairy imports.

The Jackson Hole economic symposium begins on Thursday, with Federal Reserve Chair Jerome Powell scheduled to speak on Friday morning. The S&P 500 is on track to enter the event with its second-strongest year-to-date performance since 2000. However, historical data compiled by Bespoke indicates that while performance leading up to Jackson Hole has been positive in 2024, the index has only risen a third of the time during the symposium, with an average decline of 1.37% over the event's duration. The index has also typically seen declines the following day, week, and up to the next Federal Reserve meeting, roughly three weeks after the symposium ends.

In the commodities market, oil prices steadied on Thursday after a previous slump, while gold remained relatively unchanged, trading near a record high on expectations of a Federal Reserve interest rate cut. The overall economic environment shows that most economies are expanding, inflation is easing back to target levels, and financial markets have stabilized after recent recession fears. However, there is a risk that interest rates may remain too high for an extended period.