Asian shares surge after Wall St. gains

Asian shares rose after U.S. stocks made their most momentous gains in two years, as investors clung to hopes that interest rates had peaked.

Australian and Japanese shares rose, while Hong Kong futures settled.

These moves came after the S&P 500 index (S&P 500) rose 0.1% on Wednesday, the eighth straight lead, and are the index’s best performance since November 2021.

The bullish momentum affected the so-called fear gauge on Wall Street, and the index saw its longest decline since October 2015, hovering at a level last seen in mid-September.

Australian and New Zealand bonds rose, reflecting Wednesday’s moves in Treasury that continued into the morning session in Asia.

U.S. ten-year bond yields fell by eight basis points to less than 4.5% on Wednesday after a $40 billion auction despite mixed data, which included a slightly higher-than-expected rate of 4.519%, indicating weaker-than-expected demand.

The 30-year bond yield reached its lowest level in more than a month. Brent crude oil settled below $80.