Asian Shares Rally as Strong US Jobs Data Boosts Global Growth Outlook

The US jobs report has sent shockwaves through global markets, causing a rally in Asian shares and a rise in oil prices.

Japan's Nikkei index rebounded by 2% after losing a similar amount in the previous week, while South Korea's Kospi rallied by 3%. The MSCI Asia-Pacific shares outside Japan also rose by 0.9%.

The strong US jobs report narrowed the odds of a rise in interest rates, but the inflationary impulse raises concerns for the upcoming US consumer prices reading on Friday.

Bruce Kasman, global head of economics at JPMorgan, forecasts core CPI to rise by 0.21%, which would keep the US Federal Reserve on hold if only for now.