Asian bonds followed U.S. Treasuries lower, gold rose and currency volatility surged as investors await talks between Greece and its creditors. Australian stocks fell a third day, while crude oil climbed.
Ten-year bond yields in Australia and New Zealand rose five basis points by 10:10 a.m. in Hong Kong, with Japanese markets closed for a holiday. The MSCI Asia Pacific excluding Japan Index was little changed as Chinese shares rose and the S&P/ASX 200 Index slipped 0.6 percent in Sydney. U.S. equity-index futures were little changed. The JPMorgan Global FX Volatility Index was near its highest level in a month as South Korea’s won weakened. Oil in New York climbed 1.5 percent and gold advanced 0.4 percent.
Germany is maintaining Greece must comply with the terms of its bailout heading into a creditors meeting in Brussels, damping speculation that a funding compromise will be reached. Officials from Ukraine, Russia, the Organization for Security and Cooperation in Europe and pro-Russian separatists will continue negotiations in Belarus Wednesday on a cease-fire in Ukraine. Analysts predict U.S. oil supplies hit a record last week.