According to Jinshi, HSBC economists said that the Federal Reserve’s recent interest rate cuts give Asian central banks more room to ease policies without having to worry about excessive exchange rate fluctuations.

Most currencies in the region have strengthened against the dollar in recent months, with more central banks expected to cut interest rates in the coming quarters.

However, few Asian countries are expected to fully match the Fed's rate cuts, and HSBC said caution will persist due to concerns such as food price volatility and high household debt levels.