Weekends in Japan, China and South Korea have limited early reaction, leaving MSCI’s broadest Asia-Pacific stock index outside of Japan to stagger.
The Japanese Nikkei was closed, but futures traded lower to 28,735 compared to the last cash close at 28,812.
Nasdaq futures have stabilized after a sharp pullback the day before, while S&P 500 futures were up 0.1%.
The Nasdaq fell 1.9% on Tuesday as several major tech companies began taking profits, including Microsoft Corp, Alphabet Inc, Apple Inc and Amazon.com Inc.
The inflated estimates were tested when US Treasury Secretary Janet Yellen said rate hikes might be needed to stem the economy from overheating.
She later woke up comments, but they reminded investors that rates should rise at some point in the future.
“Moderate inflation and slow Fed movement will continue to support, but inflation and Fed reactive response could be negative for the estimates,” said Tapas Strickland, chief economics officer at NAB.
“Either way, yields and stocks are likely to dance as much better-than-expected economic data continues to challenge central banks’ rate recommendations.”
One such problem looms on Friday, when US employment data is forecast to show a significant increase of 978,000 people, and by some estimates – up to 2.1 million.
So far, Federal Reserve Chairman Jerome Powell has argued that the job market is still far from what it takes to start talking about cutting asset purchases.
Federal Bank of Minneapolis President Neil Kashkari, the famous “dove”, said on Tuesday that the economy could take several years to return to full employment.
The Fed’s tenacious patience allowed the yield on US 10-year bonds to fall to 1.59% from last week’s high of 1.69%, although the market struggled to break below 1.53%.
The mere mention of higher US rates was enough to help the dollar regain some of its recent losses.
The euro fell to $ 1.2015 and threatened to break through the important chart support in the $ 1.1995 / 1.2000 area. The break will open the way to the $ 1.1923 recovery target.
The dollar strengthened slightly against the yen at 109.36, but met resistance at 109.61. Against a basket of currencies, the dollar climbed to 91.282 and fell from a recent two-month low of 90.422.
The New Zealand dollar rose sharply to $ 0.7160 after better than expected employment data in the country.
In commodity markets, palladium has skyrocketed to record highs amid fears of a shortage of a metal used in vehicle emissions control devices.
Gold remained at $ 1,776 an ounce.
Oil prices climbed to a seven-week peak as more countries opened their borders to travelers, improving the outlook for gasoline and jet fuel demand.
Brent crude rose 57 cents to $ 69.49 a barrel, the highest since mid-March, while US crude rose 52 cents to $ 66.23 a barrel.
(Editing by Sam Holmes)