Asian shares advanced on Friday, warmed by the embers of a strong day on Wall Street which also supported risk-friendly currencies and hurt the safe-haven yen, though worries about the Chinese economy capped gains.
Oil prices rose on Thursday, reversing previous losses, on expectations that high natural gas prices as winter approaches may drive a switch to oil to meet heating demand needs.
The dollar touched its lowest this week against major peers on Thursday, taking a breather from a rally that had lifted it to a one-year high powered by expectations for quicker Federal Reserve interest rate hikes.
The S&P 500 closed higher Wednesday, led by strength in tech amid worries that persistently elevated inflation could dent the recovery just as the Fed’s September minutes signaled the taper of bond purchases could get underway as soon as next month.
Asian stock markets rose, the dollar eased and longer-dated bonds rallied on Thursday as investors reckoned on inflation bringing forward rate hikes around the world.
Gold was up on Wednesday morning in Asia, steadying ahead of the U.S. Federal Reserve’s latest meeting minutes and inflation data. Both the minutes and the data will be analyzed for clues as to the central bank’s timeline for asset tapering.