Europe’s labour market has proved surprisingly resilient in the face of a once-in-a-generation inflation shock and aggressive interest-rate hikes, according to European Central Bank president Christine Lagarde.

A key US inflation gauge probably ticked higher last month, underscoring the challenge Federal Reserve chair Jerome Powell and his colleagues face in balancing rising prices and mounting risks in a fragile job market.

Bank of Japan governor Kazuo Ueda said wage hikes are spreading beyond large firms and likely to keep accelerating due to a tightening job market, signalling his optimism that conditions for another interest rate hike were falling into place.

Oil prices edged higher on Monday after Ukraine stepped up attacks on Russia, fanning concerns Russian oil supply could be disrupted, while expectations of a cut in US interest rates buoyed the outlook for global growth and fuel demand.

Most Asian stocks and currencies surged on Monday, with the Indonesian rupiah and Malaysian ringgit leading gains, after Federal Reserve Chair Jerome Powell's dovish Jackson Hole signals last week boosted appetite for riskier regional assets.