Investors pile into regional equities as diplomatic progress in Eastern Europe eases risk aversion and weakens the dollar.
The MSCI Asia-Pacific Index climbed 1.2% to 743.89, surpassing its previous record set in January 2022. Gains were broad-based, with technology and export-driven sectors leading amid signs of a potential ceasefire in Ukraine and reduced safe-haven demand for the dollar.
The index had traded sideways for three months, lagging U.S. and European benchmarks. Analysts had expected a modest 0.5% gain this week, citing persistent inflation concerns and hawkish central bank rhetoric. The dollar index slipped 0.4% against a basket of currencies, extending its weekly decline to 1.1%.
Futures on the S&P 500 rose 0.3% in early Asian trading, while gold prices retreated 0.6% to USD 2,018 per ounce.