European markets are also heading north, with EUROSTOXX 50 futures and FTSE futures up about 1%. E-Mini futures for the S&P 500 opened softer but bounced as the Asia day wore on and was last up 0.5%.
That comes even as South Korea warned of a second wave of the new coronavirus as infections rebounded to a one-month high, while new infections accelerated in Germany. Chinese blue chips rose 0.1%. Chinese inflation and production data due this week will be closely watched for clues on how the pandemic has hit demand in the world's second-largest economy.
"Since late March there has been an extraordinary divergence between the real economy and financial risk, with the latter helped by unprecedented policy accommodation," he added. The rally in prices has come even as the U.S. Treasury plans to borrow trillions of dollars in the next few months to plug a gaping budget deficit.