Nikkei Gains 3% as Precious Metals Sell-Off Pauses
**MARKET BRIEF: Tuesday Recovery & Factory Data Surprise**
**Nikkei Leads Asian Rebound**
Japan’s Nikkei 225 surged on Tuesday, climbing nearly **3%** to reclaim the **54,200** level. This sharp reversal erases Monday’s losses, driven by a renewed appetite for risk assets following volatility earlier in the week.
**Commodities "Ceasefire"**
The intense sell-off in precious metals paused, offering markets a much-needed breather.
* **Silver** rebounded above **$83** per ounce, clawing back losses after a historic two-day plunge.
* **Gold** found support near **$4,750**, stabilizing after recent sharp corrections linked to the nomination of Kevin Warsh as Fed Chair.
**US Factory Data Catalyst**
Global sentiment was lifted by unexpectedly strong US economic data. The ISM Manufacturing PMI hit **52.6** in January 2026, signalling expansion for the first time in 12 months. This "demand-related spike" suggests the US industrial sector is emerging from a prolonged contraction, easing fears of a deeper economic slowdown.
**Broader Outlook**
With the US dollar steadying and volatility indices receding, investors are cautiously pivoting back to equities. The strong factory numbers have offset immediate concerns about hawkish Fed policy shifts, fueling a green session across major Asian benchmarks.