fbpx

Asia-Pacific stocks slide as major indexes in the region fall at least 1% each

Soegeefx AppsAsia MarketAsia-Pacific stocks slide as major indexes in the region fall at least 1% each

Key Points

  • Shares in Asia-Pacific declined in Friday morning trade.
  • U.S. Federal Reserve Chairman Jerome Powell said Thursday the central bank is committed to hiking rates “expeditiously” to tame inflation.
  • U.S. Treasury yields jumped following Powell’s comments. The yield on the benchmark 10-year Treasury note, which started the year near 1.5%, last stood at 2.9095%.

SINGAPORE — Shares in Asia-Pacific fell in Friday morning trade as investors watch for market reaction to overnight remarks from U.S. Federal Reserve Chairman Jerome Powell.

The Nikkei 225 in Japan led losses among the region’s major markets, declining 1.99% as shares of conglomerate SoftBank Group dropped more than 3%. The Topix index shed 1.39%.

Hong Kong’s Hang Seng index pared some losses after earlier falling more than 2%. It last traded 1.23% lower as shares of Chinese tech giants Tencent and Alibaba dropped 2.93% and 3.7%, respectively.

Mainland Chinese stocks also declined, with the Shanghai composite down 0.26% while the Shenzhen component dipped 0.761%.

South Korea’s Kospi traded 1.07% lower. Australian stocks declined as the S&P/ASX 200 dipped 1.74%.

MSCI’s broadest index of Asia-Pacific shares outside Japan traded 1.18% lower.

TICKER COMPANY NAME PRICE CHANGE %CHANGE
.N225 Nikkei 225 Index *NIKKEI 27033.33 -519.73 -1.89
.HSI Hang Seng Index *HSI 20461.83 -220.39 -1.07
.AXJO S&P/ASX 200 *ASX 200 7465.9 -126.9 -1.67
.SSEC Shanghai *SHANGHAI 3069.87 -9.94 -0.32
.KS11 KOSPI Index *KOSPI 2695.62 -32.59 -1.19
.FTFCNBCA CNBC 100 ASIA IDX *CNBC 100 8615.26 -158.45 -1.81

Fed watch

Powell hinted at more aggressive rate hikes ahead by the central bank as it seeks to bring down inflation. He said the Fed is committed to hiking rates “expeditiously” to tame inflation.

“I would say 50 basis points will be on the table for the May meeting,” Powell said. Following those comments, expectations for a 50 basis point move in May rose to 97.6%, according to the CME Group’s FedWatch Tool.

“The long of the short of it is: rates are going to go up, the Fed wants to keep pushing them up a lot and they will keep doing so until something breaks. The question is: what will break and when?” said Michael Every, global strategist at Rabobank.

U.S. Treasury yields also jumped on the back of Powell’s comments. The yield on the benchmark 10-year Treasury note, which started the year near 1.5%, last stood at 2.9425%.

Stock picks and investing trends from CNBC Pro:

These companies set to report next week typically beat earnings estimates and trade higher

Goldman likes Meta’s moves in the metaverse — and gives the stock serious upside

It’s time to buy these e-commerce stocks after the sell-off, Morgan Stanley says

Stocks on Wall Street fell overnight stateside, with the S&P 500 slipping about 1.48% to 4,393.66. The Dow Jones Industrial Average shed 368.03 points, or 1.05%, to 34,792.76. The tech-heavy Nasdaq Composite lagged, dropping 2.07% to 13,174.65.

Currencies and oil

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 100.632 — once again above the 100 level that it fell below briefly earlier this week.

The Japanese yen traded at 128.64 per dollar, still weaker as compared with levels below 126 seen last week against the greenback. The Australian dollar was at $0.7358 after a recent drop from above $0.744.

Oil prices were lower in the morning of Asia trading hours, with international benchmark Brent crude futures down 0.88% to $107.38 per barrel. U.S. crude futures shed 0.89% to $102.87 per barrel.

Source : CNBC

You might also like

Leave a Reply




Enter Captcha Here :