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U.S. stock futures and Asian stocks soared after President Donald Trump said that he shelved plans to impose tariffs on Mexico and as global investors hoped for lower U.S. interest rate on the weak jobs data.

The Mexican peso soared 1.75 percent to 19.2579 against the U.S. dollar on news of the removal of the tariff threat.

"The deal with Mexico is boosting sentiment while expectations of U.S. rate cuts will be also supporting share prices," said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui DS Asset Management.

"Still, with limited progress seen so far in U.S-China trade talks, the most important issue for markets, stock prices will be able to rise only so much," he added.

Anticipations the Fed will cut rates kept the U.S. dollar on the defensive after frail jobs from the U.S Labor Department.

A month ago non-farm payroll added by 75,000 jobs smaller than the 185,000 additions estimated by economist in a news agency poll.

Wage increased cooled to 3.1 percent from a previous year, since September it is the slowest yearly growth. Three months earlier, wages had been escalating at their fastest rate in 10 years. Even though Fed funds rate futures prices tumbled after the Mexico deal.

"I would expect optimism to rule markets until the next Fed's meeting," said Naoya Oshikubo, senior economist at Sumitomo Mitsui Trust Asset Management.

The Federal Reserve’s next policy meeting will be on June 18-19.

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Japan’s Nikkei added 1.1 percent and South Korea’s Kospi increased 0.55 percent while the MSCI’s index of Asia-Pacific stocks outside Japan rose 0.7 percent.

The euro was slightly changed at $1.1329 close to 2-1/2-month high of $1.1348 moved on Friday.

Gold prices were down 0.8 percent at $1,348.1 per ounce.

The Chinese yuan was soft. The yuan dropped around 0.35 percent to 6.9366, its lowest since early December, in the onshore trade.

"Recent comments from current and former central bank governors suggest a consensus is building among Chinese policymakers that they do not attach much significance to defending the seven per dollar level," said Ei Kaku, currency strategist at Nomura Securities.

"The yuan would weaken further should there be no summit meetings between the two countries at an upcoming G20 meeting in Osaka," Nomura's Kaku said.

Group of 20 finance leaders said that trade and geopolitical pressures have “intensified”, escalating risks to improving economic growth, however, they prevented short of calling for a resolution of the worsening U.S. and China trade spat.

Oil prices rose after Saudi Arabia said OPEC and Russia were nearly agreeing to expand an output production cut beyond June and as U.S. stock rallied.

The international benchmark for oil prices, Brent crude futures soared 0.25 percent per barrel while the U.S. West Texas Intermediate (WTI) crude futures added 0.57 percent to 54.30.

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