Asian markets, along with U.S. futures, experienced slight upticks on Friday following a recovery in U.S. stocks after a period of volatility earlier in the week.

Japan’s Nikkei 225 inched up by 0.2%, reaching 53,800.28. This modest gain came after the Bank of Japan opted to maintain its key interest rate, in line with expectations. The central bank had previously increased the policy rate to 0.75% in December. As the policy meeting concluded, the Bank of Japan offered a slightly more optimistic outlook on future inflation and economic growth.

Meanwhile, the Japanese yen depreciated against the U.S. dollar, which rose to 158.64 yen from 158.42 yen.

According to Abhijit Surya from Capital Economics, “With underlying inflationary pressures remaining robust, we anticipate the Bank of Japan will resume its tightening cycle in the coming months.”

In China, markets also posted modest gains. Hong Kong’s Hang Seng index climbed 0.3% to 26,718.13, while the Shanghai Composite index similarly increased by 0.3% to 4,133.58.

South Korea’s Kospi climbed 0.6% to 4,983.36. The benchmark had topped 5,000 for the first time on Thursday but fell back later in the day.

In Australia, the S&P/ASX 200 edged 0.2% higher to 8,862.20.

Taiwan’s Taiex jumped 0.8% and the Sensex in India was nearly unchanged.

On Thursday, the S&P 500 climbed 0.5% to 6,913.35, extending its rally after U.S. President Donald Trump called off tariffs on European countries that he said opposed his calls for U.S. control of Greenland.

The Dow Jones Industrial Average rose 0.6% to 49,384.01, and the Nasdaq composite gained 0.9% to 23,436.02.

Details were sparse about a deal on Greenland that Trump said he reached with the head of NATO, leaving investors wary of what’s to come. It’s not signed yet.

It was the latest example of Trump making a big, initial threat, only to pull back after a dramatic reaction in financial markets. The pattern has led to the “TACO” acronym, suggesting that “Trump Always Chickens Out” if markets react strongly enough. Tuesday’s drop for the U.S. stock market was the worst since October and large enough that Trump, who often takes credit when Wall Street is doing well, acknowledged “the dip.”

JPMorgan Chase rose 0.5% after a lawsuit filed by Trump against the bank caused minor ripples for its stock. Trump accused JPMorgan Chase of closing his accounts for political reasons after he left office in 2021.

Treasury yields held relatively steady, suggesting foreign investors weren’t rushing out of the U.S. bond market.

Yields got some support from reports on the U.S. economy’s strength that came in better than expected. One said fewer U.S. workers applied for unemployment benefits last week than economists expected in a potential signal that the pace of layoffs remains low. A second suggested the U.S. economy grew at a faster rate during the summer than the government initially estimated.

A third said that inflation in November was close to economists’ expectations, while spending by U.S. consumers was a touch better than expected.

Global markets have calmed following an easing of long-term Japanese government bonds, which had spiked early in the week on worries that Japan’s Prime Minister Sanae Takaichi might make moves that would add heavily to the government’s already big debt.

The 40-year Japanese government bond yield slipped back after hitting a record of more than 4%. It was trading at 3.0955% early Friday.

In other dealings early Friday, the price of gold rose 0.8%, remaining close to the $5,000 level. Silver gained 2.3%. Prices of such precious metals often rise when investors are looking for something safer to own.

U.S. benchmark crude oil added 52 cents to $59.88 per barrel, while Brent crude, the international standard, was up 54 cents at $64.60 per barrel.

The euro slipped to $1.1750 from $1.1755.

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AP Business Writers Stan Choe, Matt Ott and Yuri Kageyama contributed.