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(Bloomberg) -- Asian shares climbed after Wall Street’s gains and Beijing pledged more steps to revive consumption. US equity futures slid as Treasury Secretary Scott Bessent dismissed the market’s recent decline as healthy.
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Equities rose in Australia, Japan and South Korea. A key gauge of Chinese shares listed in Hong Kong opened higher but pared gains, while their onshore counterparts fluctuated after data showed the country’s housing slump worsened.
Oil rose gained for a second day, benefiting from optimism that demand from top importer China will rise. The dollar was steady.
Investors are awaiting further clues from Chinese officials during a press conference set to be held 3 p.m. Monday, after Xinhua reported that authorities will provide details on policies to stabilize the stock and real estate markets, lift wages and boost the nation’s birth rate. Latest data showed consumption in China grew faster to start the year, helping offset the impact of Donald Trump’s tariffs that are putting pressure on exporters in the world’s largest trading nation.
“The initiatives announced over the weekend are targeted to boost the flagging animal spirits of the Chinese consumer,” said Tony Sycamore, an analyst at IG in Sydney. That may help “the continued outperformance of China equity markets.”
Treasuries edged higher in Asia trading. The benchmark 10-year yield dipped 1 basis point to 4.30% after rising 4 basis points on Friday.
Central Bank Bonanza
Investors will also be monitoring to a swath of central bank meetings this week as President Donald Trump’s trade salvos test policymakers’ nerves. The Bank of Japan is expected to keep its rate steady after a hike last month and the Bank of England is expected to stand pat. Federal Reserve Chairman Jerome Powell Jerome faces a tricky task of both assuring investors the economy remains on solid footing and policymakers are ready to step in with support.
“Trump and his administration have expressed more tolerance for adverse economic fallout from tariffs than we had thought,” Jonathan Millar and colleagues at Barclays Plc wrote. For the Federal Reserve, “we expect the median dot to show just one cut this year and two next.”
Separately, German Chancellor-in-waiting Friedrich Merz said Friday that an agreement had been reached with the Green party on the debt-funded defense and infrastructure package. The euro strengthened for a second week, and remained near its strongest against the greenback since November ahead of a vote on the plan on Tuesday.