Asian markets up on Tuesday

Asian stocks rose on Tuesday, with the dollar strengthening and the yen hovering near the 152-per-dollar level, raising concerns about potential intervention, Reuters reported on Tuesday.

Expectations of a Federal Reserve interest rate cut diminished as US manufacturing data showed growth in March, casting doubt on the need for rate cuts.

The positive manufacturing data boosted US Treasury yields, pushing the dollar higher. European stock markets were expected to open modestly higher. Japan’s Nikkei index was volatile, fluctuating around the 40,000 points mark.

The yen weakened slightly to 151.76 per dollar, close to a 34-year low. Japanese authorities were monitoring the situation for signs of intervention.

Asian-Pacific shares outside Japan rose 0.65 per cent, led by Hong Kong stocks. The Hang Seng Index was up more than two per cent. Chinese stocks dipped after a strong gain the previous day.

In the US, the S&P 500 started the second quarter cautiously amid concerns about interest rate cuts. Treasury yields eased slightly, while the dollar remained firm. Market expectations for rate cuts in June decreased slightly.

Commodities saw US crude and Brent prices rise, 0.51 per cent and 0.49 per cent, respectively, supported by improved demand and geopolitical tensions in the Middle East. Gold prices also increased 0.3 per cent, reaching a new all-time high.