Asian shares rose and the dollar wobbled on Wednesday as investors awaited U.S. inflation data as well as the results of the U.S. midterm elections that could signify a power shift in Washington.
Chinese consumer inflation slowed more than expected in October, data showed on Wednesday, as renewed lockdown measures during the month, due to a resurgence in COVID-19 cases, presented fresh headwinds for the economy.
China's factory gate prices for October dropped for the first time since December 2020, and consumer inflation moderated, underlining faltering domestic demand as strict COVID curbs, a property slump and global recession risks hammered the economy.
Oil prices slid on Wednesday as industry data showed U.S. crude stockpiles rose more than expected and on worries a rebound in COVID-19 cases in top importer China would hurt fuel demand.
The dollar steadied on Wednesday as traders waited on results from U.S. elections and on inflation data that could disappoint hopes for the interest rate outlook, while cryptocurrencies were on edge as a major exchange faces a bailout.
The dollar was kept on the back foot on Tuesday by strength in the Chinese yuan and other currencies sensitive to China's growth, as markets clung to hopes that China's restrictive zero-tolerance approach to COVID-19 will eventually ease.