HONG KONG – Asian stocks mostly rose on Aug 28 ahead of a closely watched speech by US Federal Reserve boss Kevin Warsh that investors will be parsing for clues about the outlook for interest rates amid elevated inflation and no sign of an end to the Middle East crisis.With the euphoria following Nvidia’s blistering earnings report petering out, the attention is back on the economy as debate surrounds if or when the US central bank will tighten monetary policy.The July Fed meeting saw policymakers keep borrowing costs on hold, but with three of them dissenting in favour of a hike, and, while the latest figures showed inflation easing slightly, it remains well above the 2 per cent target.Worries that price rises will remain elevated for some time – fuelled largely by a spike in energy costs caused by the Iran war – have put upward pressure on long-term Treasury yields, making government borrowing increasingly expensive.Traders are hoping Warsh’s speech at the annual meeting of central bankers and economic leaders at Jackson Hole, Wyoming, will give them an insight into decision-makers’ thinking.However, his last major public appearance after the July meeting was widely panned as giving an ambiguous message, and analysts warn that his refusal to give forward guidance will likely mean investors are left disappointed.Stephen Innes at Quintex Intel said the address – Warsh’s first since taking the helm at the Fed – was “the most consequential central bank speech left this year”, and comes almost three weeks before the next policy announcement.“Recent data has reduced the immediate need for tighter policy, giving Warsh room to re-establish the Fed’s inflation-fighting message without signalling imminent action,” he wrote.“The speech arrives against a difficult policy backdrop. Inflation remains above target for a sixth consecutive year, while Fed officials have begun debating whether tighter policy may still be required.”Asian equity markets were broadly higher in early trade, with tech firms struggling to extend the Aug 27 rally that came on the back of Nvidia’s profit blowout and bumper forecast, which soothed worries over the AI boom.Tokyo, Hong Kong, Shanghai, Sydney, Singapore, Jakarta and Taipei all rose, though Seoul retreated along with Wellington and Manila.Wall Street had provided a positive lead, with all three main indexes rising, though the gains were based entirely on the tech sector, which was the only one of 11 to advance.Oil prices edged down but remain in danger of spiking further as investors await a breakthrough in efforts to reopen the Strait of Hormuz to tanker and cargo traffic.US officials have vowed further economic pressure to make Iran open the waterway – through which about a fifth of world oil passes – after six months of war, but attempts at a diplomatic solution remain elusive. AFP