The stocks are focused on weekly earnings increase, but the rate hikes have faltered

In Tokyo, Japan, on January 25, 2022, men wearing safety masks walk under an electronic sign showing Japan’s Nikkei stock average amid a corona virus infection (COVID-19) epidemic. REUTERS / Issei Kato

SINGAPORE, Feb 4 (Reuters) – Asian stocks rallied on Friday as strong earnings on the US rallied on US futures, setting up for weekly gains, while investors sold bonds spread to Japan from other markets in response to bad signals from central banks. In Europe.

Wide index of MSCI of Asia-Pacific equities outside Japan (.MIAPJ0000PUS) 1% higher, led by a 3% rise in the Hong Cheng Index (.HSI) In its first day of business after the lunar New Year holiday this week. Nikkei of Japan (.N225) Closed up 0.7%.

After high sales on Thursday, Facebook owner Meta Platforms (FB.O) Falling 26%, Wall Street Futures rose again in honor of a revenue pulse that raised Amazon shares by about 14% in after-market trading. read more

The S&P 500 futures rose last 1% and the Nasdaq 100 futures rose more than 2%.

David Cassidy, head of investment strategy at Wilson Advisory in Sydney, said: “We are starting to see a little more two-way action in terms of profitability.

“When you have both macro pressure … trigger withdrawal and some hiccups on the revenue front it leads to volatility.”

Snap Shares (SNAP.N) And Pinterest (PINS.N) Following strong quarterly reports, extended trading also soared, and Twitter soared, replacing some previous losses. read more

The European futures rose 0.25%, the German DAX futures 0.33% and the FTSE futures 0.58%.

Both the Bank of England (BoE) and the European Central Bank (ECB) were flat on Thursday after a stagnation.

On Friday, the sale of government securities from Europe and the United States to Japan lifted Japanese yields to zero for the first time since 2016 in five years. read more

Yields rise when bond prices fall.

US crude hit a seven-year high of $ 90.99 a barrel and was set to rise for a seventh week in a row, adding to oil inflationary pressures.

The fight against inflation

US jobs data will be released after World Day.

Economists who voted for Reuters have predicted a small increase in jobs, although the latest wave of the Omicron variant could hamper hiring by COVID-19 infections.

Although many analysts believe that the wheels have already shifted to higher rates globally, a weaker number may support stocks if they appear to be bad enough to delay policy tightening.

ECB President Christine Lagarde opened the door to rate hikes this year on Thursday as the Bank of England raised rates on Thursday and half of its policymakers wanted a bigger increase. read more

“We see the environment really changing based on the central bank’s position, which previously camped in pro-growth territory, but is now rapidly changing to combat inflation,” said Rob Cornell, ING’s chief economist at Singapore.

Treasuries were stable during the Asian session, with a 10-year yield of 1.8364%. The euro made a small addition to Thursday’s rise and rose about 0.2% to a three-week high of $ 1.1472.

However, a cautious mood has closed the trade-linked currencies and the Australian dollar was weak at $ 0.7127 and the kiwi at $ 0.6665.

Gold was stable at $ 1,806 an ounce.

Additional Report by Tom Westbrook; Editing by Simon Cameron-Moore

Our standards: Thomson Reuters Trust Principles.