- As concerns of a wider spread of the banking upheaval diminished, US financial shares soared and Treasuries sank, and Asian equities opened higher on Tuesday.
- With equities in Hong Kong, Australia, and Japan, where the Topix index was poised for the highest level in more than two weeks, an Asian stock gauge was set to snap a 2-day losing streak.
- As the worries in the financial sectors decreased, traders have been carefully moving towards a risk-on attitude. On Wall Street on Monday, financial institutions took the lead but energy companies also did well. After two weeks of gains, the tech-heavy Nasdaq 100 ended the session 0.7% lower.
- After rising 23 bps on Monday, the 2-yr Treasury yield dropped back below the 4% mark in Asian trading. The trading day in the US carried over sentiment to Australia and New Zealand, where rates on government debt increased.
- The yen gained strength while a measure of dollar strength fell for a second day.
