06:35 AM EDT, 05/01/2025 (MT Newswires) -- Asian stock markets edged higher in holiday-thinned trading on trade outlooks and central bank policy moves.

Tokyo and Sydney finished in the green while Hong Kong, Shanghai, Seoul, Singapore, Bangkok, and Mumbai were shuttered for May 1 observances.

In Japan, the Nikkei 225 opened higher on Wall Street cues and rose to the close, finishing up 1.1% after the nation's central bank held rates unchanged. A softer yen lifted export issues.

The benchmark Nikkei 225 rose 406.92 to 36,452.30, as gaining issues outnumbered losers 145 to 77.

Leading the upside was Sumitomo Pharma, up 13.6%, while materials and electronics maker Murata Manufacturing declined 12.8% after reporting earnings.

In economic news, the Bank of Japan voted to keep its policy interest rate at 0.5%, while lowering estimates for Japan's gross domestic product (GDP) and inflation.

In its quarterly economic outlook, the central bank decreased its fiscal 2025 (started April 1) GDP growth outlook to 0.5% from the previous 1.1%, and lowered its fiscal 2026 outlook to 0.7% from 1%.

The Bank of Japan inflation forecast for the core consumer price index that strips out fresh food was eased to 2.2% for fiscal 2025, from a previous forecast of 2.4%. The estimate for fiscal 2026 was trimmed to 1.7% from 2%.

On the other regional exchanges, the Australian ASX 200 rose 0.2%.