Oil Rises, Futures Fall, and Stock Rally Stalls – Asia Market Wrap
A modest rally in global markets, spearheaded by technology sectors, appeared to wane heading into the European session, as rising Middle Eastern tensions pushed crude oil prices higher.
Equity-index futures indicated that European equities and Wall Street gauges could tumble 0.5%. Brent crude rose 4.4% to more than $104 a barrel, recovering from a 2.8% dip on Monday, as Iran increased attacks on key infrastructure in the Persian Gulf.
Asian shares, however, were set for a second day of advances as Nvidia’s upbeat remarks bolstered technology stocks in the region. Elsewhere, the Dollar surged while Treasuries slid throughout the curve, with the 10-year yield rising 3 bps to 4.24%. Gold prices climbed for the first time in five days.
In other market news, Bitcoin climbed to around $74,500. Silver climbed for the second day.
The Yen remained in focus as it approached the 160-per-Dollar threshold, indicating investors’ fears over the country’s reliance on imported energy. Traders expected the BoJ to hold interest rates at its policy meeting later this week, with a quarter-point increase predicted only in July.
