Asia markets rise as investors remain bullish on growth

Asia markets rise as investors remain bullish on growth

AFP / Hong Kong

Asian markets edged up as investors remained bullish about the outlook for the global economy while the dollar held gains at the end of a week that saw inflation in the United States and China hit highs not seen in decades.

A respite in the crisis surrounding troubled Chinese developer Evergrande, and reports that Beijing was planning to ease financial rules on the property sector, also provided some much-needed support to the region.

Wall Street offered a broadly upbeat lead after two days of losses fanned by concerns that a forecast-beating spike in prices last month would force the Federal Reserve to wind down its vast bond-buying stimulus scheme quicker than thought and lift interest rates sooner.

However, analysts said dealers remained hopeful that the inflation spurt would not be long-lasting and flatten out as supply chains normalise and employment numbers increase, and that the Fed would not likely change its plans to go slow in removing policy support. Meanwhile, a better-than-expected earnings season — which came despite the jump in prices and problems accessing supplies — has given traders confidence that the recovery was still on track.

“Inflation could remain elevated in the coming months, and each