Asian stocks advanced as a wave of dip buying combined with growing bets on potential interest-rate cuts.
The MSCI Asia Pacific Index rose 0.7%, led by South Korea. Futures for the S&P 500 gained 0.2% after the index had its biggest rally since May.
Contracts for Europe rose 0.4%. Treasuries dipped marginally across the curve with yields on the policy-sensitive two-year rising more than 2 basis points to 3.70%.
A gauge of the dollar advanced 0.1%. Oil steadied after a three-day drop as investors weighed the impact of risks to Russian supplies, with US President Donald Trump stepping up his threat to penalize India for buying Moscow’s crude. Indian stocks fell 0.3% and the rupee weakened.
Traders are increasingly pricing in interest rate cuts by the Federal Reserve after Friday’s weak jobs report, which dragged down stocks and sent bond prices sharply higher.
Equities have rebounded from their April lows, driven by growing optimism that corporate America can absorb the impact from tariffs and the US economy will be able to avoid a recession.
