Asia Morning Call-Global Markets

April 2 (Reuters) -

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** indicates closing price

All prices as of 2025 GMT

EQUITIES

GLOBAL - Global stocks rallied and oil prices retreated on Wednesday on hopes of a de-escalation in the Iran conflict.

MSCI's gauge of stocks across the globe .MIWD00000PUS rose 1.68%.

For a full report, click on MKTS/GLOB

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NEW YORK - Wall Street ended higher on Wednesday, with strong gains in Alphabet and other heavyweights, after U.S. President Donald Trump suggested an end to the Middle East conflict could be close.

According to preliminary data, the S&P 500 .SPX gained 46.92 points, or 0.72%, to end at 6,575.44 points, while the Nasdaq Composite .IXIC gained 251.97 points, or 1.17%, to 21,842.59. The Dow Jones Industrial Average .DJI rose 226.66 points, or 0.49%, to 46,568.17.

For a full report, click on .N

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LONDON - European stocks extended their rally on Wednesday, with the STOXX 600 notching its biggest three-day advance in nearly a year after U.S. President Donald Trump said Washington will be "out of Iran pretty quickly."

The pan-European index .STOXX rose 2.5% to 597.69 points.

For a full report, click on .EU

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TOKYO - Japan's Nikkei share average rose nearly 4% on Wednesday, supported by hopes of a de-escalation in the Middle East conflict after U.S. President Donald Trump said the war with Iran could end in two to three weeks.

The Nikkei .N225 climbed 3.87% to 53,039.72 by 0134 GMT, starting April on a strong note after the benchmark logged its worst month since the 2008 global financial crisis in March.

For a full report, click on .T

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SHANGHAI - China and Hong Kong stocks joined a global relief rally on Wednesday and the yuan firmed against the dollar after U.S. President Donald Trump signalled that an end to the Iran war could be in sight.

China's blue-chip CSI300 Index .CSI300 rebounded 1.7% in its best day in almost three months. The Shanghai Composite Index .SSEC gained 1.5%.

For a full report, click on .SS

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AUSTRALIA - Australian shares were poised to open higher on Thursday buoyed by tentative hopes of de-escalation of the Middle East conflict, with mining and gold stocks likely to gain support from strong underlying commodity prices.

The local share price index futures YAPcm1 rose 0.2%, a 56.2-point premium to the underlying S&P/ASX 200 index .AXJO close. The benchmark ended 2.2% stronger on Wednesday.

For a full report, click on .AX

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SEOUL - South Korean shares rebounded sharply on Wednesday on expectations of a de-escalation in the U.S.-Israeli war against Iran, while strong exports also boosted investors' risk appetite.

The benchmark KOSPI .KS11 closed up 426.24 points, or 8.44%, at 5,478.70, its biggest one-day rise since March 5, after sharp gains triggered a trading curb earlier in the session.

For a full report, click on KRW/

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FOREIGN EXCHANGE

NEW YORK - The dollar fell against major currencies including the Swiss franc and euro for the second straight session on Wednesday amid growing signs of a possible ceasefire in the Middle East conflict, which will likely ease market volatility.

The dollar index =USD, which measures the currency against a basket of currencies including the yen and the euro, was last down 0.07% at 99.67.

For a full report, click on USD/

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SHANGHAI - China's yuan firmed to its strongest level in a week against the dollar on Wednesday, as expectations of a near-term end to the Middle East war reduced the greenback's appeal.

The onshore yuan CNY=CFXS changed hands at 6.8866 per dollar in early trading, having hit its firmest level since March 24.

For a full report, click on CNY/

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AUSTRALIA - The Australian and New Zealand dollars were back from the brink on Wednesday as investors clung to hopes for some progress toward ending the Gulf war, sparking an equities rally and boosting appetite for risk assets.

The Aussie firmed 0.2% to $0.6915 AUD=D3, having bounced from a 10-week trough of $0.6834 overnight. A break above $0.6945 was needed to improve a bearish technical background.

For a full report, click on AUD/

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SEOUL - South Korean won strengthened against dollar on Wednesday.

The won was quoted at 1,498.3 per dollar on the onshore settlement platform KRW=KFTC, 1.25% higher than its previous close at 1,517.0.

For a full report, click on KRW/

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TREASURIES

NEW YORK - U.S. Treasuries slipped on Wednesday as the second quarter got underway, snapping a multi‑day rally, after a fresh batch of data pointed to continued resilience in the U.S. economy, bolstering expectations that the Federal Reserve will hold interest rates steady this year and not cut them.

In afternoon trading, U.S. 10-year yields, which rise when Treasury prices fall, were last slightly up on the day at 4.313% US10YT=RR.

For a full report, click on US/

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LONDON - Euro zone government bond yields edged lower on Wednesday as investors remained cautious over the conflict in the Middle East, even after U.S. President Donald Trump suggested the war could be nearing an end.

Germany's rate-sensitive two-year yield fell one bp to 2.60% DE2YT=RR, and traders also reduced the amount of European Central Bank rate hikes they expect this year.

For a full report, click on GVD/EUR

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TOKYO - Japanese government bond yields fell sharply on Wednesday as investors scooped up bonds at the start of the new fiscal year, with sentiment aided by optimism for the de-escalation of the Middle East conflict.

The five-year JGB yield JP5YTN=JBTC fell 5.5 basis points to 2.30%, and the 40-year JGB yield JP40YTN=JBTC fell 12 bps to 3.795%. Bond prices move inversely to yields.

For a full report, click on JP/

COMMODITIES

GOLD

Gold rose for a fourth straight session on Wednesday as the U.S. dollar slipped and other risk assets rallied on tentative hopes that the conflict in the Middle East will de-escalate.

Spot gold XAU= was up 2.5% at $4,784.22 per ounce by 1730 GMT, highest since March19. U.S. gold futures GCcv1 settled 2.9% higher at $4,813.10.

For a full report, click on GOL/

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IRON ORE

Iron ore futures prices rose on Wednesday, supported by upbeat factory data and hopes of stimulus measures in top consumer China that could brighten the demand outlook.

The most-traded iron ore contract on China's Dalian Commodity Exchange (DCE) DCIOcv1 closed daytime trade up 0.12% at 812 yuan ($118.14) a metric ton, after sliding 0.8% on Tuesday.

For a full report, click on IRONORE/

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BASE METALS

Copper prices extended gains on Wednesday to reach a two-week high on hopes that the Iran war is nearing a close, even though prices are still far short of their levels from before the U.S. and Israeli attacked Iran in late February.

Benchmark three-month copper on the London Metal Exchange CMCU3 was up 0.9% at $12,446 a metric ton by 1600 GMT after hitting $12,492.50, its highest since March 18.

For a full report, click on MET/L

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OIL

Oil prices fell on Wednesday after U.S. President Donald Trump said the country will end its war on Iran fairly soon.

The front-month Brent contract for June LCOc1 fell $2.91, or 2.8%, to $101.06 per barrel by 1:23 p.m. ET (1723 GMT), bouncing off a session low of $98.35. U.S. West Texas Intermediate crude futures for May CLc1 slipped $1.96, or around 1.9%, to $99.42 per barrel, off a session low of $96.50.

For a full report, click on O/R

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PALM OIL

Malaysian palm oil futures fell on Wednesday, reversing course after four straight sessions of gains, despite Indonesia's plans to go ahead with the rollout of its B50 biodiesel blending plan.

The benchmark palm oil contract FCPOc3 for June delivery on the Bursa Malaysia Derivatives Exchange shed 60 ringgit, or 1.24%, to 4,768 ringgit ($1,184.89) a metric ton at closing.

For a full report, click on POI/

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RUBBER

Japanese rubber futures rose on Wednesday, recouping from losses in the previous session, as high butadiene rubber prices and tight synthetic rubber supply prompted manufacturers to substitute towards natural rubber.

The Osaka Exchange (OSE) rubber contract for September delivery JRUc6, 0#2JRU: closed trade 1.4 yen, or 0.37%, higher at 382 yen ($2.41) per kg.

For a full report, click on RUB/T

(Bengaluru Bureau; +91 80 6749 1130)