Asian shares hit six-week highs as US-Iran peace talks offer relief. MSCI's Asia-Pacific index gained 1.5% while Japan's Nikkei climbed 1.2% to 58,561 points, approaching record levels. Diplomatic hopes pushed oil prices sharply lower, with Brent crude falling below $94 per barrel as markets price in reduced geopolitical risk. Wall Street rallied overnight, with the Nasdaq extending its winning streak to ten consecutive days and the S&P 500 approaching record closes. Producer inflation data came in softer than expected, easing inflation concerns that had weighed on markets. The dollar steadied after a seven-day losing streak while Treasury yields declined on optimism about conflict resolution. Analysts note investors are positioning for economic stimulus ahead of midterm elections as geopolitical tensions ease.
