Beijing: Asian stock markets closed the week with steady movement on Friday as global investors looked ahead with cautious optimism, hoping for a possible interest rate cut from the United States Federal Reserve.

The MSCI Asia Pacific index excluding Japan stayed mostly unchanged at the end of the trading session. However, it still recorded a gain of about three percent for the week. This marks the first weekly increase in nearly a month.

Despite this progress, the index was still down around 2.7 percent for the month of November, reflecting recent market volatility.

China’s main blue chip index, the CSI 300, slipped slightly by 0.1 percent, while Hong Kong’s Hang Seng index saw a small rise of 0.3 percent. Market analysts said the moves reflected mixed investor sentiment as economic pressures remain in the region, especially in China.

Recent data from China showed weak performance in both factory output and retail sales, reaching their lowest growth levels in more than a year.

Economists believe this signals a slowdown in domestic demand and continued economic challenges for the world’s second largest economy.

Meanwhile, the United States dollar recorded its biggest weekly decline since July. The currency fell as more traders grew confident that the US Federal Reserve may lower interest rates in December. Lower rates tend to support global stock markets by reducing borrowing costs and encouraging investment.

The expectation of a rate cut also boosted other currencies including the Australian and New Zealand dollars. At the same time, United States government bonds continued to strengthen and extended a four month rise.

Market experts say the coming weeks will be important. The Federal Reserve decision, new economic data from China and global geopolitical developments could all shape market direction.

For now, investors remain hopeful but careful, watching for clearer signs that the global economy is stabilising.