In Asian Equity Markets Japanese stocks snapped a five-day losing streak on Wednesday as investors bought cyclical stocks ahead of a long weekend that will mark the start of the Tokyo 2020 Olympics, following a rebound in U.S. stocks. The Nikkei index rose 1.75 percent to 27,870.66 and the MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.17 percent. Australian stocks were up 1.21 percent, Chinese blue-chips added 0.76 percent and Taiwan shares rose 0.27 percent. Seoul’s KOSPI lost 0.14 percent as South Korea reported a daily record of novel coronavirus cases.

In Currency Markets the dollar was up on Wednesday morning in Asia but eased slightly from multi-month peaks. Recent risk aversion that gave the greenback a boost ebbed, and selling was light ahead of the European Central Bank (ECB)’s latest policy decision that kept the euro pinned down. The dollar index edged up 0.07 percent to 93.030, with the euro down 0.07 percent to $1.1771. The dollar was 0.05 percent stronger against the yen at 109.90. The Aussie dollar was down 0.26 percent to $0.7310, while kiwi inched down 0.07 percent to $0.6912.

In US Equity Markets stocks ended sharply higher on Tuesday, rebounding from a multi-day losing streak as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally. The Dow rose 1.62 percent, to 34,511.99, the S&P 500 gained 1.52 percent, to 4,323.06 and the Nasdaq Composite added 1.57 percent, to 14,498.88. Of the 11 major sectors in the S&P 500, all but consumer staples closed green. Halliburton Co rose 3.7 percent after a bounce-back in crude prices boosted oilfield services demand, leading the company to post its second consecutive quarterly profit.

In Commodities Markets gold was subdued in volatile trade on Tuesday as the dollar strengthened, curbing inflows into the safe-haven metal despite some concerns over a surge in COVID-19 cases. Spot gold was little changed at $1,811.51 per ounce. Elsewhere, platinum fell 0.4 percent, to $1,070.46 per ounce, while palladium rose 1.9 percent to $2,645.30. Silver shed 1 percent to $24.96. Oil prices turned positive as investors looked to buy a dip. U.S. crude recently rose 1.78 percent to $67.60 per barrel and Brent was at $69.55, up 1.36 percent on the day.

In European Equity Markets stocks stabilised on Tuesday after their worst sell-off this year in the previous session, helped by a handful of positive corporate earnings and production updates from miners. The pan-European STOXX 600 index rose 0.5 percent, after worries about the fast-spreading coronavirus Delta variant and slowing economic growth had knocked 2.3 percent off the index on Monday. Miners, among sectors that bore the brunt of Monday’s bruising selloff, rose 1.2 percent after BHP Group and Anglo American provided upbeat production numbers.

In Bond Markets yields on 10-year Treasuries rebounded from five-month lows on Tuesday after the previous session’s biggest single-day decline since February, as traders scrambled to hedge positions amidst the unexpected rally in U.S. bond prices. Ten-year Treasury yields rose 2.9 basis points to 1.210 percent. The yield on the 30-year Treasury bond gained 5.4 basis points to 1.869 percent. The two-year U.S. Treasury yield was down 1.6 basis points at 0.194 percent. The breakeven rate on five-year U.S. Treasury Inflation-Protected Securities (TIPS) was last at 2.43 percent.