Asian shares held onto their recent gains on Wednesday after last week’s pummelling, as global equities rebounded thanks to a combination of positive COVID-19 vaccine news and easing worries over tapering of Federal Reserve stimulus.
Gold was down on Tuesday morning in Asia, but remained above the $1,800 level. Hopes are also growing that the U.S. Federal Reserve could delay its planned asset tapering thanks to the continuing spread of COVID-19.
The dollar was up on Tuesday morning in Asia after its sharpest one-day fall since May 2021. However, investors kept moves small ahead of a U.S. Federal Reserve symposium that could herald the beginning of asset tapering and interest rate hikes.
Oil prices rose on Tuesday after the U.S. drug regulator granted full approval to the Pfizer (NYSE:PFE) Inc/BioNTech SE COVID-19 vaccine, stoking investor hopes that higher fuel demand will follow a potential step up in U.S. coronavirus vaccination rates.
Wall Street rallied on Monday, and the Nasdaq reached an all-time closing high as sentiment was boosted by full FDA approval of a COVID-19 vaccine and market participants looked ahead to the Jackson Hole Symposium expected to convene later this week.
Asia Pacific stocks were up on Tuesday morning, with the first full approval for a COVID-19 vaccine expected to boost U.S. vaccination rates and assuaging some concerns over COVID-19’s impact on the global economic recovery.