Stocks Advance & Oil Retreats Amid Middle East Tensions - Asia Market Wrap

US stock and bond futures advanced as oil prices retreated, with investors looking past recent attacks on Saudi Arabia that threatened to escalate tensions in the Middle East. 6%. 2% as South Korean stocks fell 3% following a long weekend. 63 in early trading, following weekend strikes by Yemen's Houthis on Riyadh's main airport.

Traders weighed resilient regional oil flows against rising geopolitical tensions and a US claim that Russia and Ukraine had agreed to a limited energy ceasefire. Meanwhile, Gold advanced for a third consecutive session, trading near $4,200 an ounce. Treasury futures edged higher alongside government bonds in Australia and New Zealand, although cash Treasuries were closed globally on Monday due to a US holiday. Elsewhere, India's Rupee strengthened 1% after the central bank introduced some of its strongest measures to support the currency since the 2013 taper tantrum.

Trade discussions between China and the EU concluded with a 16-point consensus covering trade, investment, export controls and intellectual property rights. The EU said China had agreed to substantially reduce hybrid car exports, while people familiar with the talks indicated that the bloc planned safeguard measures to restrict imports. Investors will turn their attention to US consumer-price data later in the week, alongside a scheduled appearance by Fed Chair Warsh. Both events could provide further insight into the outlook for inflation and the potential pace of additional interest-rate increases.