Asian shares up as US inflation data reinforces Fed pause bets

Asian shares rise and the dollar weakens, following the release of the US CPI report, which showed a smaller than expected increase in both monthly and annual consumer prices. The report increased traders expectation of a rate pause by the Federal Reserve during Wednesday’s two-day policy meeting to 91.9%, according to CME Group’s FedWatch Tool. Tony Sycamore, a market analyst at IG, said that the result would keep the Fed’s hawkish trigger finger hovering over the rate hike button in the months ahead. However, inflation pressures remain a concern for markets.