Asian shares track Wall St decline as bond yields rebound | National News
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A currency trader gestures at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Thursday, March 4, 2021. Asian shares fell Thursday, tracking a decline on Wall Street as another rise in bond yields rattled investors who worry that higher inflation may prompt central banks to raise ultra-low interest rates.
A currency trader walks near screens showing the Korea Composite Stock Price Index (KOSPI), left, and the foreign exchange rate between U.S. dollar and South Korean won, center, at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Thursday, March 4, 2021. Asian shares fell Thursday, tracking a decline on Wall Street as another rise in bond yields rattled investors who worry that higher inflation may prompt central banks to raise ultra-low interest rates.
Currency traders watch monitors at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Thursday, March 4, 2021. Asian shares fell Thursday, tracking a decline on Wall Street as another rise in bond yields rattled investors who worry that higher inflation may prompt central banks to raise ultra-low interest rates.
A currency trader talks with his colleague at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Thursday, March 4, 2021. Asian shares fell Thursday, tracking a decline on Wall Street as another rise in bond yields rattled investors who worry that higher inflation may prompt central banks to raise ultra-low interest rates.
Asian shares fell Thursday, tracking a decline on Wall Street as another rise in bond yields rattled investors who worry that higher inflation may prompt central banks to raise ultra-low interest rates.
Benchmarks were lower in most major markets and the dollar rose against the Japanese yen.
Shares have yoyo’d recently with fluctuations in bond yields. When yields rise quickly, as they have in recent weeks, it forces Wall Street to rethink the value of stocks. Technology stocks are most vulnerable to this reassessment after having soared during the pandemic, making them look pricier than the rest of the market.
U.S. government bond yields rose Wednesday after easing a day earlier. The yield on the benchmark 10-year Treasury note was steady at 1.47% early Thursday.
“The dial ticks back to rising bond yield concerns, between that and the broad risk-on mood derived from the global economic recovery,” Jingyi Pan of IG said in a report. She noted that stocks more affected by ups and downs in economic cycles were faring relatively well.
Japan’s Nikkei 225 lost 2.1% to 28,930.11 and the Hang Seng in Hong Kong dropped 2.2% to 29,212.75. Australia’s S&P/ASX 200 lost 0.8% to 6,760.70.
The Shanghai Composite index shed 2.1% to 3,503.49. Investors are anticipating that policies outlined during the annual session of the National People’s Congress, a largely ceremonial legislature that convenes on Friday, may point to a tightening of monetary and government stimulus.
