View Single Post
Old 21-09-2023, 10:42
xtreamforex's Avatar
xtreamforex xtreamforex is offline
Level V Lasers Member
Join Date: Oct 2015
Posts: 528
Send a message via ICQ to xtreamforex Send a message via AIM to xtreamforex Send a message via Yahoo to xtreamforex
Default Stocks Plummet, US Yields Surge, Dollar Gains Momentum as Federal Reserve Adopts Hawk

Asia-Pacific shares followed the downward trend set by Wall Street on Thursday, as investors interpreted the latest policy statements from the US Federal Reserve as a signal of higher and longer interest rates.

The broadest index of Asia-Pacific shares outside Japan, MSCI’s (.MIAPJ0000PUS), was down 0.4% in early afternoon Hong Kong time. Japan’s Nikkei (.N225) slid 0.6%, China’s blue-chip (.CSI300) dipped 0.6%, and Hong Kong’s benchmark shed 1.3%.

The yield on two-year US Treasury notes rose to a 17-year high of 5.1970% on Thursday morning and hovered around 5.18% by early afternoon.

Similarly, Japan’s 10-year government bond yield reached its highest level in a decade, in line with the US 10-year Treasury yields, which hit a 16-year peak at 4.4310%.

“We anticipate further increases in bond yields in the near future due to the Federal Reserve’s hawkish position,” said Tai Hui, APAC chief market strategist at J.P. Morgan Asset Management. He added that while high interest rates can cool the economy, they remain positive on long-term government bonds, investment grade corporate debt, as well as growth and tech stocks.

Read More : Daily & Weekly Analysis On Xtreamforex
Reply With Quote