Asian stocks climbed with emerging-market currencies after a ceasefire deal in Ukraine and signs of compromise on Greece’s debt negotiations. The yen held gains on bets that the Bank of Japan will refrain from additional stimulus and the dollar was weaker against most peers.
The MSCI Asia Pacific Index added 1.1 percent by 2:06 p.m. in Tokyo, as mining and energy shares drove Australia’s S&P/ASX 200 Index toward its highest close since May 2008. Standard & Poor’s 500 Index futures were little changed after the U.S. gauge came within three points of a record. The Korean won strengthened 1.3 percent. The yen gained 0.5 percent versus the dollar and Japanese bond yields climbed. Gold rose a second day and U.S. oil was little changed.
Global equities have been beaten down this week as uncertainty over the twin crises in Greece and Ukraine collided with U.S. economic reports that have muddied the outlook for when the Federal Reserve will increase interest rates.
Jeroen Dijsselbloem, head of the eurogroup of Greece’s creditors, said the weekend will be used to find common ground and that a solution to the standoff will be “very difficult.” China may release lending data while a U.S. consumer sentiment report is due.
“Currency, commodity, equity and most other financial markets will continue to experience extremely high volatility this year with developments in the global economic situation,” said Win Udomrachtavanich, the Bangkok-based chief executive officer of One Asset Management Co., which manages about $3 billion of assets. “The Ukraine agreement is positive for investors but reaction will be short lived as the biggest concern to investors is Greece. Investors will closely watch the talks this weekend.”