Businesses across the globe broadly enjoyed an improved performance this month with activity picking up in the United States and across parts of Asia and Europe, surveys showed on Thursday, giving central banks room to potentially defer cutting interest rates.
The number of Americans filing new claims for unemployment benefits fell last week, pointing to underlying strength in the labor market that should continue to support the economy.
Asian stocks fell on Friday, while the dollar advanced as strong U.S. economic data bolstered the prospect of interest rates staying higher for longer and the Federal Reserve taking its time in cutting rates, keeping investors away from risky assets.
Oil prices steadied on Friday, but were headed for steep weekly losses as concerns over sticky inflation and high interest rates spurred doubts that demand will remain robust this year.
The dollar headed for its largest weekly rise in a month and a half on Friday, helped by surprisingly strong U.S. economic indicators and a hawkish tone in Federal Reserve minutes.
Japan's factory activity crept into expansion for the first time in a year in May, a business survey showed on Thursday, as manufacturing gathered pace after months of weakness.