Asian stocks moving higher after U.S. central bank accelerates planned stimulus pullback

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Asian stocks upbeat after Wall Street surge following Fed announcement

Stocks climbed in Asia on Thursday, tracking Wall Street’s gains, after the Federal Reserve said it would accelerate its pullback of economic stimulus.

Simmering tensions between Beijing and Washington are casting a shadow, analysts say, after the U.S. House of Representatives passed a resolution to ban imports from China’s Xinjiang region due to concerns about forced labor and other abuses.Apart from that, the U.S. reportedly is considering sanctions that would prevent companies providing equipment to China’s biggest computer chips maker, SMIC.

While the U.S. is hastening its efforts to counter inflation, central banks in Europe are not expected to follow suit, analysts said. The Dow Jones Industrial Average DJIA, +1.08% rose 1.1% to 35,927.43 and the tech-heavy Nasdaq Composite COMP, +2.15% gained 2.2% to 15,565.58. The Russell 2000 index RUT, +1.65% of smaller-company stocks rose 1.6%. Bond yields TMUBMUSD10Y, 1.457% edged higher.

Businesses have been dealing with supply chain problems and higher costs for months. It has been a key concern for investors as big companies pass those costs off to consumers, who have so far been absorbing higher prices on everything from groceries to clothing and other consumer products.

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