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

Asian equities rebounded Monday, with MSCI Asia-Pacific ex-Japan up 0.8%, Japan’s Nikkei up 2.5% and Taiwan’s benchmark up about 2.5%, after steep losses tied to AI-demand and profitability concerns. A U.S. jobs report showing 165,000 additions—more than twice expectations—pushed market-implied odds of a December Fed rate increase of at least 25 bps to nearly 80%; Tuesday’s CPI is the next key test. AI-related regulatory risk and weak crypto prices kept sentiment fragile, while Brent fell to $97.49 after President Trump said he was unlikely to order fresh attacks on Iran if talks progress.