- Asia's markets soared as US equities jumped and treasuries fell as investors weighed new data indicating greater Fed tightening ahead.
- Equities in Australia, South Korea, Japan, and China increased in value. Hong Kong stocks rallied to end a 4-day losing streak, led by JD.com, Nio, and Tencent.
- Equity futures for US benchmarks rose after the S&P 500 rose 0.3% to close at its session high on Wednesday, while the Nasdaq 100 rose 0.8%.
- The Australian dollar was unchanged after initially falling in response to a surprising spike in the unemployment rate, indicating that higher interest rates are having an impact on the economy. Government bond yields fell as a result of the news. New Zealand yields climbed, but benchmark 10-yr treasury yields were unchanged after rising 6 bps on Wednesday. The dollar remained stable, while the yen rose.
- Wednesday's advances in US stocks came as investors ignored robust economic data that would necessitate a hawkish Fed response. Retail sales in the US increased by the highest in nearly 2 yrs in January, while homebuilder sentiment increased by the most since mid-2020 in February.
- The report comes after a hotter-than-anticipated inflation print on Tuesday and ahead of US employment data due out on Thursday, which is likely to show an increase in jobless claims.
