Nikkei rebounds, rest of Asia little changed ahead of ECB

The Asian markets had a positive start to the day, with the Japanese stocks leading the advances, tracking an upbeat close on the Wall Street overnight.

Risk-sentiment received a fresh boost from Fed Chair Yellen’s hawkish remarks, after she said that Fed remains on track for further, gradual interest rate increases in wake of tightening labor market.

Subsequently, the treasury yields rallied and pushed the US dollar higher across board, in-turn fuelling further recovery in USD/JPY and lifting the sentiment around exports stock. While rest of Asia trade on a cautious note, suggesting increased nervousness heading into the ECB monetary policy decision due later on Wednesday.

The Japanese benchmark, the Nikkei 225 index jumps +0.74% to 19,035. The Australian benchmark, ASX 200 index trades +0.05% higher at 5,681. Mainland Chinese markets are seen modestly flat, with both Shanghai composite and Shenzhen’s CSI 300 index down about -0.06%. Hong Kong's Hang Seng drops -0.56% to 22,970.