(Bloomberg) — Asian stocks look set to climb early Thursday after progress on the U.S. debt-ceiling impasse lifted equities on Wall Street. The dollar advanced and Treasuries were steady as traders await key American jobs data.

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Futures rose in Japan, Australia and Hong Kong. The S&P 500 and Nasdaq 100 erased losses of more than 1% to close with gains on a possible deal to boost the debt ceiling into December, alleviating the immediate risk of a default but leaving the political fight simmering in Washington.

The yield on the U.S. 10-year Treasury note was little changed. Investors are continuing to weigh the economic recovery against inflation risks from a jump in energy costs. ADP employment data beat expectations and a robust U.S. nonfarm payrolls report Friday could cement predictions of a reduction in Federal Reserve stimulus starting next month.

Investors remain on edge as they grapple with a panoply of risks, including monetary-policy tightening to tackle price pressures and the impact on Chinese growth of Beijing’s curbs on a debt-laden property sector. The global energy crunch is also unsettling markets: natural gas prices — up as much as 40% at one point — turned lower after Russia’s President Vladimir Putin said the country is ready to help.

“We maintain our call for a period of volatility in the markets as a series of shocks continue to percolate through with clearly many professional and retail clients waiting on the side,” Sebastien Galy, senior macro strategist at Nordea Investment Funds, wrote in a note.

On the geopolitical front, President Joe Biden plans to meet virtually with Chinese President Xi Jinping before the end of the year, a senior U.S. official said, with tensions escalating between the world’s two-largest economies.

Crude oil in New York fell from a seven-year high in the wake of growing U.S. inventories and after Russia’s signal. In cryptocurrencies, Bitcoin jumped above $55,000. Chinese markets are shut for a holiday and will reopen on Friday.

For more market analysis, read our MLIV blog.

Here are some events to watch this week:

Some of the main moves in markets:


  • The S&P 500 rose 0.4%

  • The Nasdaq 100 rose 0.6%

  • Nikkei 225 futures rose 0.6%

  • Australia’s S&P/ASX 200 Index futures added 0.5%

  • Hang Seng Index futures rose 0.6%


  • The Japanese yen was little changed at 111.43 per dollar

  • The offshore yuan was at 6.4541 per dollar

  • The Bloomberg Dollar Spot Index rose 0.2%

  • The euro traded at $1.1554



  • West Texas Intermediate crude fell 1.9% to $77.43 a barrel

  • Gold was at $1,762.69 an ounce

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