Global stocks advance as oil retreats before US inflation data
European and Asian shares gained while traders priced in a near-certain December rate increase by the Federal Reserve.
Dollar steadies in Asia ahead of US inflation figures
Markets priced an 85% probability of a December Federal Reserve rate increase after October hiring exceeded forecasts.
The dollar stabilized during Asian trading on November 10 as investors awaited US inflation figures, following losses as falling oil prices and rising stocks encouraged a shift toward riskier assets.
Early in the session, the Australian dollar traded at $0.6921 after gaining nearly 1% on Monday. The New Zealand dollar stood at $0.5624 following a larger advance. Both currencies were steady during the Asian morning.
The euro reached $1.1220 after an overnight rise of 0.7%, recovering from Friday's decline. Strong US employment figures had supported the dollar that day: October hiring was more than twice the forecast, leaving markets pricing an 85% probability that the Federal Reserve would raise rates in December.
Economists surveyed expected October headline inflation of 3.9% and core inflation of 2.8%, both measured against a year earlier. Analysts said readings above those forecasts would strengthen expectations for rate increases and probably support the dollar.
Sterling traded at $1.3441 after drawing support from the Bank of England's first rate increase in three years.
The yen was near 157.97 per dollar. Figures published Monday showed Japan had sold $97 billion from its reserves to support the currency during late July and August. The prospect of additional dollar sales was helping steady the yen despite fading expectations for a Japanese rate increase in December.