Investing.com-- Most Asian stocks rose on Monday with investors looking to more cues on fiscal stimulus from a meeting of China’s top policymakers this week, although risk aversion before the U.S. elections kept gains limited.

Regional trading volumes were also low on account of a market holiday in Japan. Nikkei 225 futures fell 0.2%. 

Asian markets took some positive cues from a softer-than-expected U.S. nonfarm payrolls reading on Friday, which furthered bets that a cooling labor market will bring more interest rate cuts from the Federal Reserve. 

U.S. stock steadied in Asian trade, with focus also turning to an upcoming Fed meeting this week. 

Chinese stocks upbeat as NPC meeting begins

China’s Shanghai Shenzhen CSI 300 and Shanghai Composite indexes rose 0.5% and 0.3%, respectively, while Hong Kong’s Hang Seng index added 0.7%.

The National People’s Congress’ Standing Committee begins a four-day meeting on Monday, where the body is widely expected to outline more fiscal spending.

Recent reports said the body could approve an additional $1.4 trillion in new debt over the coming years to boost growth, especially as the Chinese economy grapples with persistent deflation and a prolonged property market crash.

The NPC meeting is likely to provide more cues on the implementation and scale of fiscal support outlined by Beijing over the past month. While Chinese stocks had initially clocked strong gains on optimism over the new measures, they trimmed a bulk of these gains on doubts over the timing and scale of the stimulus. 

Australia stocks rise, RBA in focus

Australia’s ASX 200 added 0.3%, remaining close to recent record highs with focus squarely on a Reserve Bank of Australia meeting on Tuesday.

The RBA is widely expected to keep rates unchanged, although the central bank may strike a hawkish tone due to Australian inflation remaining sticky. 

The RBA is also expected to flag a potential delay in any plans to cut interest rates, due to sticky inflation and strength in the job market. ANZ expects the central bank to only begin cutting rates in the first quarter of 2025. 

Broader Asian markets advanced, although gains were mostly skittish in anticipation of the U.S. elections and the Fed meeting. 

Recent polls showed Donald Trump and Kamala Harris were set for a tight race on Tuesday. Increased speculation over a Trump victory had pressured Asian markets in recent sessions, given that Trump has vowed to impose steep trade tariffs on China.

On Monday, South Korea’s KOSPI rose 1.4%, outperforming its regional peers on strength in local chipmaking stocks.

Futures for India’s Nifty 50 index pointed to a flat open, as Indian stocks struggled after tumbling from record highs in October. More key Indian earnings are also due this week.