Waller's Comments Spark Global Markets Rally Ahead of US Jobs Data

Asian shares tracked Wall Street higher ahead of the U.S. jobs data, while bonds found some relief after Federal Reserve Governor Christopher Waller's comments cooled rate-hike fears.

The dollar's retreat turbocharged a rally in the yen, which is set for a weekly rise of 2.3%, its best performance since late July when Japan and the U.S. conducted a joint intervention to halt a slide in the Japanese currency.

European stocks are bracing for a higher open, with a pan-region index up 0.1%. Nasdaq futures climbed 0.3% and S&P 500 futures rose 0.1%.

Federal Reserve Governor Christopher Waller said recent data suggested some signs of disinflation and that he would favour holding rates steady at this month's policy meeting if upcoming reports reinforced the trend.

The comments led to a scaling back of the chance of a rate hike this month to just 50%, from about 63% a day ago, as futures priced in a lower probability of an immediate increase.