In Asian Equity Markets indices rose on Wednesday as investors mostly shrugged off an escalating trade conflict between the U.S. and China. In Australia, the benchmark ASX 200 rose 0.3 percent, with the materials and energy sectors gaining 1.59 percent and 1.16 percent, respectively. Major mining stocks rose: Shares of Rio Tinto were up 2.5 percent, Fortescue jumped 3.18 percent and BHP gained 2.19 percent. Japan’s Nikkei 225 was up 1.51 percent and the Topix index added 1.5 percent. In South Korea, the Kospi traded near flat.

In Currency Markets the US dollar rose to a two-month high against the safe-haven Japanese yen and advanced modestly against the euro on Tuesday as investors appeared to discount rising trade-related tensions between the United States and China.  The dollar, which initially slipped to a three-week low against the euro, recovered to trade up about 0.15 percent. Against the yen, which tends to benefit during geopolitical or financial stress as Japan is the world’s biggest creditor nation, the dollar was 0.46 percent higher.

In Commodities Markets oil prices on Wednesday pulled back from gains racked up the previous day, pushed down amid a surprise climb in U.S. crude stockpiles. Brent crude futures had fallen 22 cents, or 0.28 percent, to $78.81 per barrel, chipping away at Tuesday’s 1.26 percent gain. U.S. West Texas Intermediate (WTI) crude fell 0.20 percent, or 14 cents, to $69.71 a barrel. U.S. crude inventories rose by 1.2 million barrels to 397.1 million in the week to Sept. 14. That contrasted with analyst expectations for a decrease of 2.7 million barrels.

In US Equity Markets stocks rebounded on Tuesday in a broad-based rally as investors brushed aside intensifying trade rhetoric between the United States and China. The S&P 500 gained 0.54 percent, to 2,904.31 and the Nasdaq Composite added 0.76 percent, to 7,956.11. Tech stocks were boosted by news that Apple Inc and fitness gadget-maker Fitbit Inc would escape the tariffs. Apple shares closed up 0.2 percent while Fitbit shares rose 6.4 percent. Trade-sensitive industrials also gained ground, with Boeing Co ending 2.1 percent higher.

In Bond Markets U.S. Treasury yields rose on Tuesday, as investors continued to price in more interest rate increases by the Federal Reserve this year and next and amid a heavy corporate bond schedule this week. News of a tit-for-tat on trade tariffs between the United States and China had little impact on the U.S. government bond market on Tuesday as benchmark 10-year and 30-year yields both climbed to fresh four-month peaks. At Tuesday close U.S. 10-year yields were at 3.034 percent, from 3.001 percent late on Monday.