NEW YORK -- The dollar rose and global equity markets advanced on Tuesday, led by chipmakers and companies exposed to Asia, after the United States temporarily eased trade restrictions on China's Huawei Technologies Co Ltd .
The temporary easing of the Huawei restrictions is an attempt to create positive news flow similar to last week's dropping of tariffs on Canadian and Mexican steel, she said."We might get positive news on relatively small trade developments like this extension for Huawei, but that doesn't change the bigger picture in regard to the US and China."
European chipmakers AMS AG of Austria, Franco-Italian STMicroelectronics and Germany's Infineon all advanced. Earlier in Asia, China's Shanghai Composite index closed up 1.23% and the blue-chip CSI300 index ended 1.35 percent higher. Data showed economic growth in Singapore was its lowest in nearly a decade in the first quarter, while in Thailand it was at its lowest in four years, raising worries that major Asian economies are getting hurt by global trade tensions.
"This is partly optimism in equities causing a reversal of the moves we saw last week," said Subadra Rajappa, head of US rates strategy at Societe Generale in New York, as well as a reduction in the markets' rate cut forecasts.Benchmark 10-year notes last fell 4/32 in price to yield 2.4281 percent.