Asian Stocks Hit Record High as US Jobs Boost Dollar and Yields

Rowan Ashford

Published: February 12, 2026 3:10 AM ET

Asian Stocks Hit Record High as US Jobs Boost Dollar and Yields

Asian stock markets soared to record highs on February 12, driven by a strong U.S. jobs report that increased the dollar’s strength against most currencies, except the yen. This surge in investor confidence comes just before crucial U.S. inflation data set to be released Friday.

Record Highs Across Asia

Markets in South Korea and Japan reached all-time peaks, buoyed primarily by gains in the technology sector. The MSCI Asia-Pacific index rose by 0.7%, marking a notable gain of approximately 13% in the first six weeks of the year.

Japanese Stocks and the Yen

Japan’s Nikkei index has experienced significant growth following Prime Minister Sanae Takaichi’s recent election victory. Takaichi’s campaign focused on economic stimulus, which has increased investor hope for fiscal responsibility. Following these developments, the yen appreciated by 2.7% this week, trading at 153.01 per dollar.

U.S. Jobs Data Impact

Investor attention has been on U.S. economic indicators, with January job growth surpassing expectations. Additionally, the unemployment rate slightly declined, indicating stability in the labor market. This stability could discourage the Federal Reserve from making immediate interest rate cuts.

Market Predictions and Rates

Before the jobs report, the anticipation for a rate cut of at least 25 basis points at the Federal Reserve’s March meeting stood at 20%. However, this expectation fell to around 5% following the positive jobs data, demonstrating a shift in market sentiment.

U.S. Treasury Yields and Dollar Strength

The two-year U.S. Treasury yield increased to 3.505%, up 5.8 basis points, following the jobs report.
The strengthened dollar has displayed resilience against most currencies, though analysts warn that ongoing uncertainties could prevent a sustained recovery.

Commodities and Market Reactions

In the commodities market, oil prices continued their upward trend due to rising tensions between Iran and the United States. Brent crude futures increased by 0.4% to $69.70 per barrel, while U.S. West Texas Intermediate crude rose by 0.46% to $64.93 per barrel. Spot gold prices saw a decline of 0.44%, trading at $5,058.49.

As trading progresses, all eyes will remain on the upcoming inflation data, which will further influence interest rate perspectives and market dynamics.