On Tuesday, Asian markets rose to their highest level in almost a month, boosted by wide Wall Street advances, while the euro remained stuck near a one-week low versus the dollar amid talk of fresh penalties against Russia.
President Volodymyr Zelensky said that additional dead were likely to be discovered in territories seized from Russian invaders, as the US and Europe planned further penalties to punish Moscow for civilian atrocities in Ukraine.
The MSCI Asia-Pacific ex-Japan index (.MIAPJ0000PUS) rose 0.16 percent to 601.3, the highest level since February 24. The benchmark has been down 4% this year, pulled down by steep falls in Chinese stocks.
Tech stocks propelled U.S. markets higher on Monday.
In a letter, Tapas Strickland, director of economics and markets at NAB, said, “Prime broking data in the US continues to imply the recent recovery in stocks is being driven by retail money, which is likely pressuring those who were under positioned or positioned short.”
“In the United States, profit reporting season begins next week, and it will be interesting to observe how companies interpret the tea leaves and whether earnings guidance is revised down,” he said.
The Russia-Ukraine crisis and concerns about increasing commodity prices have fueled inflation fears and clouded the path of interest rates, causing global markets to experience a tumultuous quarter.
The Nikkei (.N225) in Japan remained unchanged, the S&P/ASX 200 index (.AXJO) was up 0.5 percent, while South Korean equities (.KS11) were down 0.2 percent.
Oil futures increased in early trading as fears of supply interruptions were heightened by the possibility of further penalties, while Iran’s nuclear discussions remained stuck.
Brent crude prices rose 1.6 percent to $109.25 a barrel, while WTI futures in the United States rose 1.6 percent. Gold prices fell 0.1 percent to $1,929.6 per ounce, with spot gold down 0.1 percent.