New energy vehicle companies, leading healthcare firms and liquor stocks, long seen as bets with frothy valuations, witnessed sharp corrections in the past few days.
Bank officials have consistently sought to assure markets that the expected surge in inflation will be temporary and monetary policy will be kept accommodative for as long as the economy needs it.
London investors brushed off the expected announcement Monday from the UK government that it will delay the lifting of its remaining lockdown restrictions.
Oil prices also extended gains, fuelled by growing optimism that the reopenings and vaccine rollouts will lead to a surge in activity over the coming months and ramp up demand.
Both main contracts have rocketed from the dark days of last April -- when they crashed in reaction to the imposition of lockdowns around the world to contain the pandemic -- helped by top producers slashing output.
The calm reaction marked a change from recent times, with benchmark 10-year Treasury yields, a key gauge of future interest rates, inching down slightly.