Asian stocks bounce as AI, Mideast jitters recede; dollar firm on Fed bets

Asian equities and US stock futures rose on Monday, recovering some losses from a turbulent prior week. Business Recorder reported that the regional Asia-Pacific index excluding Japan gained 2%, while Japan’s Nikkei advanced 3.5%, South Korea’s market added 1.8% and Taiwan’s benchmark climbed more than 6%. US S&P 500 futures were up 0.6%.

The rebound followed heavy selling linked to doubts over AI investment returns and concerns about regulation. Brent crude slipped to $98.2 a barrel after US President Donald Trump said further strikes on Iran were unlikely while peace talks continued. Separately, a strong US jobs report lifted market expectations of a Federal Reserve rate increase in December to nearly 80%, while the dollar index reached 102.2.