After a late afternoon rally on Wall Street capped a volatile week for global equity, most Asian markets rose Monday, despite traders worried about the Federal Reserve's plan to hike interest rates as it battles rising inflation.
The Nasdaq posted eye-watering fourth quarter profits that lifted optimism about consumer spending and the economic recovery after a seven percent bump for heavyweight Apple.
The strong performance - which was also helped by strong US economic data - filtered through to Asia, where trade was slowed by investors winding down ahead of the three-day Lunar New Year break that starts Tuesday.
The Fed prepared to withdraw the vast financial support that was put in place at the beginning of the epidemic, which has been a key driver of a near two-year equity rally.
Commentators remain positive, as the bank lifts borrowing costs.
The recent selloff marks a long overdue correction rather than the beginning of a bear market, according to analysts at BCA Research Inc.
They said stock prices can suffer from indigestion when bond yields rise suddenly, but usually bounce back as long as yields do not move into economically restrictive territory. As inflation sits at a four-decade high, observers continue to question the Fed's move, with some saying it could hike up to seven times before 2023, with an initial 50 basis point move in March.
In an interview with the Financial Times on Saturday, Atlanta Fed chief Raphael Bostic said he expected three hikes this year but warned that every option is on the table for every meeting. He stressed that he would be comfortable with an increase at each of the bank's seven meetings this year.
Oil prices went up more than one percent as economies re-open and people start travelling again, while concerns about a Russian invasion of Ukraine caused fears of possible supply disruptions.
The crude prices could top $100 for the first time since 2014 if Russia sends troops into the country, according to analysts.
Dollar yen: UP at 115.53 yen from 115.24 yen late Friday.
The euro pound was up to 83.20 pence from 83.16 pence.
West Texas Intermediate: UP 1.5 percent at $88.12 per barrel.
Brent North Sea crude: UP 1.4 percent at $91.33 per barrel.
New York - Dow was up 1.7 percent at 34,725.