- Tuesday saw increases in Asian stocks, supported by gains on Wall Street, as US stocks continued their upward trend and buyers of bonds were drawn to a $16 billion sale of 20-year Treasuries. The currency continued to decline.
- Among the region's top performers were IT stocks. A measure of Chinese developers increased by as much as 7.6%, on track to see its largest gain since September following news that authorities are compiling a list of 50 firms qualified for various forms of funding. US contracts increased little on the Nasdaq 100's 22-month high and the S&P 500's best close since August.
- After a successful 20-year auction during the previous session, Treasury bonds saw increases throughout Asian trade. The US 10-year yield reversed course and dropped to about 4.4% on Monday, just after the auction results, which sent the dollar to an 11-week low. On Tuesday, speculation that US interest rates may have peaked caused the dollar to weaken against all of its Group of 10 counterparts, while the offshore yuan rose above the daily fixing for the first time since July.
- The yen's fourth day of advances was facilitated by the dollar's decline, which also helped an emerging-market currency benchmark achieve its best result since 2017.
- The dollar's "mini" bear trend still has some distance to go, according to Richard Franulovich, head of FX strategy at Westpac.
