Market Rally Pauses as Bond Beating Takes a Break

Asian markets are expected to rebound following a relief bounce around the world, with currency traders preparing for inflation reports from South Korea, the Philippines, Thailand, and Taiwan. The recent fall in the 10-year Treasury yield has eased stress in global markets, leading to a decrease in the dollar, a recovery in Wall Street, and a slump in oil prices. However, investors remain cautious as volatility remains high and yield curve steepening continues. Japanese assets are also sensitive to possible Bank of Japan activity, and the yen is still near 150.00 per dollar. Key developments on Thursday include inflation data from several Asian countries and Australia's trade balance.