Comments from the Federal Reserve (Fed) helped Wall Street enter a rally and pushed stocks in Asia soaring.
In addition, continued tensions in Ukraine sent oil and resource prices crashing, signaling a bad sign of global inflation.
Western powers tightened barriers against Russia again after Ukraine's 2nd largest city, Kharkiv was bombed.
Capital Economics market economist, Thomas Methews, believes that investors' doubts about *stagflation-lite signaling that the barrier will bring more inflation in the market are building and dampening economic growth.
*Weak economic growth and high inflation.
MSCI's broadest index of Asia-Pacific shares outside Japan jumped 0.4%, breaking a recent 15-month low, while Japan's Nikkei added 1.0% and a commodity boom sent Australian sourcing up 0.9%.
Wall Street made an overnight bounce with the S&P 500 front down half and the Nasdaq Composite down 0.2%.
Jerome Powell's Comment
Chairman of the Federal Reserve (Fed) Jerome Powell stated that the benefit rate will be increased by as much as 25 principal points for this month (March) and the war in Ukraine indirectly gives the impression of the decision.
However, Powell also warned that the Fed might act more aggressively if inflation continues to rise.
After that, some safe-haven assets retreated from the treasury and the 10-year yield was back at 1.878% from 1.682% on Tuesday.
European bonds also pulled back from gains recorded earlier after data showed inflation in the euro zone rose 5.8% in January, further putting pressure on the European Central Bank (ECB).
Currency markets saw the euro stay at $1.1112 and the dollar up 115.53 yen after the yen traded weaker.
The dollar index hit its highest level since June 2020 at 97,834.
Gold was trading at $1,929 an ounce and up 2% on a tail high in demand in the safe-haven asset.
US crude oil prices were up 36 cents at $110.96 a barrel while Brent oil prices were up 9% at $114.54.
