Stocks advanced during the Asian trading session amid higher bond yields and investor focus on central bank decisions and the pace of further interest rate hikes. An Asian equity gauge surged for the second straight day as the sell-off in Hong Kong and China shares paused.
Tech shares gained more than 5% and led a rebound in Hong Kong equities, which on Monday slumped to the lowest since 2009. Japanese shares climbed as the yen’s weakness supported sentiment for the nation’s exporters.
Technology and EV battery companies pushed South Korea’s benchmark index higher. US equity futures rose after the S&P 500 declined, weighed down by big tech. US Energy shares had whipsawed on news that President Joe Biden would call on Congress to consider tax penalties for producers accruing record profits.
Australia’s central bank raised interest rates by a quarter point as expected. The ASX 200 Index extended gains and Australian sovereign bonds enjoyed a little bit of a relief rally. The small increase in Australia’s policy rate contrasts with expectations for another jumbo hike from the Federal Reserve on Wednesday.
