Asian shares extended a global rally on Wednesday as strong U.S. corporate earnings and the expected resumption of Russian gas supply to Europe helped lift risk-on sentiment.

The S&P 500 gained 2.8 percent while the tech-heavy Nasdaq Composite Index added 3.1 percent on Tuesday.

"In addition to a tech-led rally in equities, the main news flow has been mostly about Europe which has lifted the euro back above 1.02 with core European yields also broadly higher," said Rodrigo Catril, Senior FX Strategist at NAB, in a research note.

Traders are awaiting guidance from a European Central Bank policy meeting on Thursday, after Reuters reported policymakers are mulling raising rates by a bigger-than-expected 50 basis points, pushing the euro higher.

In Asia, MSCI's broadest index of Asia-Pacific shares outside Japan rose 1.2 percent. Hong Kong stocks finished sharply higher Wednesday with the Hang Seng Index rising 1.11 percent. The Shanghai Composite Index climbed 0.77 percent, while the Shenzhen Composite Index gained 0.71 percent.

On Wednesday, the dollar eased 0.1 percent against its major peers, languishing at two-week lows amid easing expectations that the Fed would resort to a 100-basis-point hike at its meeting next week.

(With input from agencies)