SINGAPORE : Asian stock markets mostly pushed higher on Thursday, ahead of U.S. consumer price data that investors hope will confirm inflation is in retreat, while the yen rose with a report Japan will next week review the side-effects of its ultra-easy policy.
Due at 1330 GMT, economists expect the rise in core U.S. consumer prices slowed to an annual pace of 5.7 per cent in December, from 6 per cent a month earlier. Month-on-month headline inflation is seen at zero. "We expect a below consensus CPI print, which if it materialises, could push this rally even further."
Brent crude futures rose more than 3 per cent to $83 a barrel overnight. U.S. Treasuries rallied at the longer end of the curve, with benchmark 10-year yields down 6 bps to 3.5558 per cent and 30-year yields down 7 bps to 3.6874 per cent.Against hopes for gentler central banks in the West, investors are also hoping recovery in China can help global growth and are eyeing a potential policy shift in Japan.
Uniqlo parent Fast Retailing on Wednesday also gave inflation expectations something of a jolt in Japan by announcing plans for wages hikes of as much as 40 per cent.