Asian Shares Gain On Report U.S. Interest Rates Won't Rise

Asian shares have climbed after Wall Street advanced on potentially encouraging news about interest rates, which have been dragging markets lower since the summer, Elaine Kurtenbach and Matt Ott reported for the Associated Press (AP).

On Monday, the S&P 500 gained 0.6% to close at 4,335.66, reversing earlier losses, after two Federal Reserve officials suggested that interest rates might remain steady at their next policy meeting.

US futures rose, while oil prices fell back slightly after surging on Monday following Israel's declaration of war on Hamas in response to its surprise attack from the Gaza Strip.

Tokyo's Nikkei 225 gained 2.2% to reach 31,682.71, and the Hang Seng in Hong Kong picked up 1.3% to reach 17,740.49.

In Australia, the S&P/ASX 200 rose 1.2% to 7,053.80. South Korea's Kospi added 0.4% to reach 2,419.77. In Bangkok, the SET gained 0.5%.

On Monday, the S&P 500 gained 0.6% to close at 4,335.66, reversing earlier losses, after two Federal Reserve officials suggested that interest rates might remain steady at their next policy meeting.

They argued that a rise in longer-term bond yields could help cool inflation without necessitating further market-rattling hikes by the Fed.

The Dow Jones Industrial Average gained 0.6% to close at 33,604.65, and the Nasdaq composite climbed 0.4% to reach 13,484.24. Oil prices, which had risen on Monday due to concerns about the violence in the Middle East, subsequently fell back, as reported by Jon Gambrell for AP.

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