Fed Officials Ease Rate Hike Fears, Asian Markets Rebound Amid Oil Price Volatility
Asian markets rebounded today as comments from top Federal Reserve officials tempered fears of rate hikes. However, oil prices remain a concern due to tensions in the Middle East.
The US and Iran exchanged fire last weekend, sending crude prices surging by around 10% this week. This has fueled inflation concerns and put pressure on central banks to raise interest rates.
US President Donald Trump indicated that the bombing campaign against Iran would be short-lived, providing some relief for markets.
New York Fed boss John Williams said policymakers need to 'wait and see' before making any decisions. Governor Christopher Waller stated that a softer inflation reading would edge him towards holding rates steady.
Waller's comments came ahead of the release of US non-farm payrolls figures today, which are seen as crucial to what the Fed announces.