Wall Street closed flat on Friday, hovering near the previous session's record-high close for the Dow and S&P 500, while the dollar firmed as investors digested the Federal Reserve's 50-basis-point cut midweek that started a rate reducing cycle.

The world of 5% yields is ending.

Asian stocks surged on Friday with Japan’s Nikkei leading regional gains after Wall Street romped to records following the Federal Reserve’s big cut to interest rates.

Traders in Asia will also look toward August consumer prices index from Japan and Hong Kong, and central bank decisions from Bank of Japan and People's Bank of China.

Japan's Nikkei share average jumped more than 2 per cent in the morning session on Friday, tracking overnight gains on Wall Street, while traders also kept a wary eye ahead of the Bank of Japan's policy decision later in the day.