Asian markets mixed as Japan's economy shrank, while U.S. stocks rose on strong earnings and expectations of a Fed rate cut.

Asian markets showed mixed results ahead of an expected U.S. Federal Reserve rate cut. Japan’s Nikkei was flat following a 2.3% annual Q3 contraction, while China’s Shanghai index rose despite a 29% drop in exports to the U.S.; Hong Kong fell. South Korea and Taiwan gained, Australia dipped. In the U.S., major indices edged higher on strong earnings, including Ulta Beauty, Victoria’s Secret, and Warner Bros. Discovery after Netflix’s $72 billion deal. The Fed is expected to cut rates for the third time this year amid a slowing job market, with inflation measures at 2.8% and consumer expectations at 4.1%. Oil rose and the dollar weakened versus the yen.