Asia Market Wrap

- Following softer-than-expected US inflation figures, equities extended their advance on Thursday, fuelling speculation that the Fed may shift to a slower pace of interest-rate hikes.

- An Asian equities index rose 1% as a result of increases in Hong Kong, South Korea, and China. Futures in the US and Europe gained as the S&P 500 hit a three-month high and the Nasdaq 100 surged 20% above its June low.

-  The gain in China's bourses slowed as investors processed the central bank's warning about inflationary pressures and commitment to avoid heavy stimulus.

- The dollar edged slightly, reversing a day earlier loss that was the most since the pandemic began. Singapore's currency fell when the city-state cut its economic growth prediction for 2022.

- Short-term government yields fell as investors reduced their estimates of how aggressively the Fed will need to tighten monetary policy. Due to a Japanese holiday, there is no cash treasury trading in Asia.