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Asian stocks continued to climb for a second straight day on Tuesday as signs emerged that US lawmakers were close to resolving the country’s record-long government shutdown. The positive sentiment also lifted global markets, though oil prices remained subdued amid concerns about oversupply and slowing demand.At 0230 GMT, the Nikkei was up 0.4% at 51,131.28, Hong Kong’s Hang Seng Index edged 0.1% higher to 26,680.73, while Shanghai slipped 0.3% to 4,008.61.In Washington, senators on Monday night passed a compromise budget deal after several Democrats sided with Republicans to fund government departments through January. If the measure clears the House of Representatives, the government could reopen by Friday. “It appears to us this morning that our long national nightmare is finally coming to an end,” House Speaker Mike Johnson said, while President Donald Trump told reporters that the deal was “very good” and that the country would be “opening up very quickly.”According to Reuters, the progress in Washington boosted risk appetite across markets, with Japan, South Korea, and Australia opening higher. The S&P 500 jumped 1.5% on Monday and the Nasdaq 100 gained 2.2%, while the MSCI All Country World Index recorded its best session since June. Commodities, cryptocurrencies, and industrial metals such as aluminium and copper also saw gains.The dollar weakened, while gold and Bitcoin rallied. Analysts said the reopening would help restore the flow of key US data on jobs and inflation, which could guide the Federal Reserve’s next interest-rate decision. “Reopening would not only boost sentiment but also open the way for data releases,” said Fiona Cincotta of City Index, as quoted by Bloomberg.Meanwhile, oil prices were weighed down by rising production and sanctions-related disruptions. Brent crude slipped 0.4% to $63.83 a barrel, while West Texas Intermediate dropped to $59.90, according to AFP. As per Reuters, while optimism over the US budget deal supported broader market sentiment, “worries about crude oversupply” limited oil’s recovery.Analysts at energy consultancy Ritterbusch and Associates noted that as OPEC production continues to rise, “global oil balances are acquiring an increasingly bearish hue” due to weaker demand and slower growth in major consuming nations. Earlier this month, OPEC+ agreed to increase December output targets by 137,000 barrels per day, the same pace as in previous months, but will pause hikes in the first quarter of next year.Adding to oil market jitters, new US sanctions on Russian firms Rosneft and Lukoil had begun to bite. Lukoil reportedly declared force majeure at its Iraqi oil field, and Bulgaria prepared to seize its Burgas refinery. The sanctions have also caused a surge in crude stored in Asian waters as exports to China and India fell. Some refiners in both countries have turned to Middle Eastern suppliers instead.Ritterbusch analysts added that a key uncertainty for oil’s outlook “is the extent to which China will continue to push Russian supplies into strategic stockpiles and whether India will succumb to Trump’s suggestions to defer further purchases from Russia.