Stocks rallied and bonds retreated in Asia on Monday as a thaw in the Sino-U.S. trade dispute tempered risks to the global economy, leading investors to pare wagers on aggressive policy easing by the major central banks.
The dollar gained on the safe-haven yen as Treasury yields jumped and futures reined in bets for a half-point rate cut from the U.S. Federal Reserve this month.
The initial reaction was one of relief that new tariffs were avoided and Japan's Nikkei climbed 1.6% to a two-month top. MSCI’s broadest index of Asia-Pacific shares outside Japan added 0.3%.
The United States and China agreed on Saturday to restart trade talks after President Donald Trump offered concessions including no new tariffs and an easing of restrictions on tech company Huawei in order to reduce tensions with Beijing.
Source : Reuters