Asian stocks rebounded on Tuesday, snapping a one-month losing streak, as chipmakers took heart from a recovery on Wall Street. However, the Australian dollar dipped on sagging commodity prices. The MSCI broadest index of Asia-Pacific shares outside Japan rose 0.55 per cent, recouping some of Monday's losses that pushed it to a one-month low. Japan's Nikkei also steadied, climbing 0.3 per cent, helped by stabilising chip stocks. The gains followed a positive night for US markets, with the S&P 500 rising 1.1 per cent and the tech-heavy Nasdaq up 1.6 per cent. Investors seemed unfazed by the end of President Joe Biden's re-election bid, focusing instead on upcoming earnings reports from Tesla and Alphabet. Taiwan's benchmark index surged 1.7 per cent early in the session, led by a two per cent jump in shares of chipmaker TSMC. The company had lost over $100 billion in market value last week due to concerns about US policy towards Taiwan's chip industry. South Korean chipmakers Samsung and SK Hynix also rebounded, with analysts confident that strong demand will outweigh any political risks. US bond yields were little changed in Asia, with the 10-year yield at 4.25 per cent and the 2-year yield at 4.51 per cent. Markets are anticipating two US rate cuts in the second half of the year, putting downward pressure on the dollar. However, uncertainty surrounding the US election is preventing it from falling too sharply. The euro remained steady at $1.089, while the yen edged slightly higher to 156.8 per dollar. China's surprise interest rate cut on Monday, along with softer-than-expected growth figures, is putting pressure on commodities. Dalian iron ore and Shanghai copper futures plunged to their lowest levels since April. Brent crude oil also dropped to a one-month low, currently trading at $82.59 a barrel. This has dragged the Australian dollar to a three-week low and the New Zealand dollar to a nearly three-month trough. Attribution: Reuters
