In Asian Equity Markets stocks inched up on Tuesday morning as positive economic data and hints of easing Sino-U.S. tensions offered some respite to the recent sell-offs, though persistent fears about a global recession and sky-high inflation kept most buyers at bay. MSCI’s gauge of Asia Pacific stocks outside Japan was up 0.3 percent, having erased part of the early morning gains. Chinese shares, however, were volatile, and gave up their early gains, with blue chips last down 0.6 percent. Nikkei index rose 1.05 percent.

In Currency Markets Australia’s dollar erased early gains on Tuesday after the country’s Reserve Bank delivered an as-expected half-point rate hike but not the hawkish forward guidance that some had hoped for. The Aussie ticked 0.09 percent lower to $0.6820, after trading as high as $0.6895 earlier in the day. The euro, which is the most heavily weighted in the index, rose 0.15 percent to $1.0436 after ending Monday about flat. The dollar index – which measures the buck against six major peers – was about flat at 105.15 after finishing Monday largely unchanged.

In U.S., Equity Markets were closed in observance of Independence Day.

In Commodities Markets oil rose on Monday as supply concerns driven by lower OPEC output, unrest in Libya and sanctions against Russia outweighed fears of a demand-sapping global recession. Brent crude rose 2 percent, to $113.89 a barrel after falling more than $1 in early trade. U.S. West Texas Intermediate (WTI) crude rose 2 percent, to $110.63. Spot gold fell 0.2 percent to $1,807.40 an ounce, having touched a five-month low of $1,783.50 on Friday. Spot silver fell 0.3 percent to $19.81 an ounce. Spot platinum was down 0.7 percent at $882.75, while palladium fell by 1.1 percent to $1,939.83.

In European Equity Markets stocks rose on Monday as the oil and gas sector marked its best session in two months, while bleak euro zone investor morale kept sentiment in check ahead of the European Central Bank’s plan to start hiking interest rates this month. The continent-wide STOXX 600 index was up 0.5 percent after falling last week on worries about a potential global economic slowdown. The energy sector rallied 4.0 percent, and London’s FTSE 100 closed up 0.9 percent. Healthcare and miners were among the other top sectoral performers.

In Bond Markets Euro zone government bond yields rose on Monday as investors took a break from their rush late last week into safe-haven assets amid recession fears. Germany’s 10-year government bond yield, the bloc’s benchmark, rose 3.5 bps to 1.27 percent. Money markets were pricing in around 135 basis points of ECB rate hikes by year-end, from 140 bps last week and 155 bps the week before. Trading was thinned by the U.S. Independence Day holiday.