Asian shares advance as inflation worries ease

Wall Street’s overnight rally had sent Asian share markets to high grounds during their early Tuesday trade. Meanwhile, the dollar was seen near its four-month low as inflation-driven rate hikes dampened investors’ enthusiasm.

After U.S. stocks’ minimal earnings, MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.81% to a two-week peak. Australian shares jumped 0.76% as Japan’s Nikkei advanced 0.63%. China’s blue-chip index hiked 0.22%, while Hong Kong’s Hang Seng index traded 0.41% higher.

The dollar index was seen subdued, shedding a total of 89.779 points to place above its four-month low. Investors’ focus was now on the release of U.S. consumption data, which will gauge the Federal Reserve’s inflation target and determine the central bank’s next action for its policy rates.