Asian stock markets experienced a positive trend on Wednesday, with Japan's Nikkei 225, Australia's S&P/ASX 200, and South Korea's Kospi all posting gains. The Japanese yen strengthened against the US dollar, raising speculation that the Bank of Japan may consider ending its negative interest rate policy.
On Wall Street, the S&P 500, Dow Jones Industrial Average, and Nasdaq composite all closed higher, with technology stocks leading the rally. Oracle and Nvidia were among the top performers. Despite an initial dip following the release of inflation data, stock indexes recovered as traders remained optimistic about the Fed's potential rate cuts in June.
The inflation report indicated that US consumer prices rose slightly higher than expected, but the data was still within expectations. Economists believe that the longer-term trend suggests a downward trajectory, which could support the Fed's plans for rate cuts. However, concerns remain about "sticky" inflation that could force the Fed to maintain high interest rates.
In the bond market, Treasury yields initially declined but later rose. The price of gold also fluctuated, eventually settling lower. In energy trading, benchmark US crude and Brent crude both gained value.