Asian shares were a touch below a recent threemonth top on Thursday with China a tad weaker as investors weighed inflation concerns ahead of key U.S. economic data while oil prices rose to near 112 year highs.
MSCIs broadest index of AsiaPacific shares outside Japan rose 0.3 to 711 points. It went as high as 712.57 on Wednesday, a level not seen since early March.
Japans Nikkei added 0.4. Australian shares climbed to alltime highs as investors cheered strongerthanexpected economic growth data released on Wednesday.
Chinese shares were marginally softer.
While broader stock markets remain close to record highs, the momentum seen earlier in the year has ebbed as investors begin to worry a strongerthanexpected rebound from COVID19 means higher inflation and soonerthanexpected monetary policy tightening.
A weekly unemployment report and May private payrolls data on Thursday will be followed by monthly jobs numbers on Friday, with investors looking for signs of an economic rebound and rising inflation.
Adding to inflation fears, oil prices hit the highest level in 112 years led by a decision by major producing nations to restore supply only gradually while the slow pace of nuclear talks between the United States and Iran also helped.
The U.S. Federal Reserve published its Beige Book report, which pointed to labour shortages and inflation pressures.
Investment managers too are becoming increasingly worried with BlackRock Founder Larry Fink the latest to warn that the…