Asia Stocks Bounce Back on Wall Street Gains and Positive US Manufacturing Data

Asian stocks rebounded on Tuesday, following Wall Street's gains and positive US manufacturing data. The yen also eased after last week's joint action by Tokyo and Washington to support the currency.

The S&P 500 index rose 1.48% on Monday, hitting a new high of 7,610.04, while the Dow Industrials reached a record closing high. Nasdaq Composite jumped 2.12%.

Oil prices remained steady near recent lows, with Brent crude up 0.6% at $84.29 a barrel after a drop earlier in the week. The dollar was up 0.4% at 157.80 yen, rebuilding strength after coordinated intervention by U.S. and Japanese authorities.

Market analysts believe that a yield-curve inversion is not likely, with Societe Generale seeing the S&P index at 8,000. However, some economists warn that Europe's economy faces a more challenging outlook due to drought and gas inventory issues.