Asian Stocks Surge Amid U.S. Economic Optimism

Asian stocks surged and the U.S. dollar hit a new high against the yen after strong U.S. labor data eased recession fears. Treasury yields rose, and U.S. market futures pointed higher. Japan's Nikkei led gains, while U.S. crude prices slipped amid geopolitical tensions in the Middle East.

Asian stocks surged on Monday, bolstered by robust U.S. labor data that dispelled recession fears and mitigated expectations for rate cuts. The dollar reached a seven-week peak against the yen, signaling renewed investor confidence.

Friday's non-farm payrolls report revealed an unexpected jump in job numbers, the highest in six months, prompting a rise in short-term Treasury yields. The report dashed hopes for a 50-basis-point rate cut by the Federal Reserve, with traders now predicting only a quarter-point reduction or no change at all.

Among regional stock performances, Japan's Nikkei led with a 2% gain, supported by a weaker yen. Additionally, Australian and South Korean markets posted modest increases, while mainland China remained closed for Golden Week. Meanwhile, crude prices fell back as geopolitical concerns in the Middle East persisted.

(With inputs from agencies.)