Asian stocks slide as Wall St tips into bear market
Skip to main content
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Features
  • Epaper
  • More
    • Subscribe
    • COVID-19
    • Bangladesh
    • Splash
    • Videos
    • Games
    • Long Read
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
The Business Standard

Wednesday
August 17, 2022

Sign In
Subscribe
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Features
  • Epaper
  • More
    • Subscribe
    • COVID-19
    • Bangladesh
    • Splash
    • Videos
    • Games
    • Long Read
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
WEDNESDAY, AUGUST 17, 2022
Asian stocks slide as Wall St tips into bear market

Global Economy

Reuters
14 June, 2022, 09:00 am
Last modified: 14 June, 2022, 09:07 am

Related News

  • 'The end of the beginning' of this war on inflation
  • Fuel price a big concern for farmers, businesses
  • Over New York, London and Hong Kong? Time to move on
  • Asian stocks fall on nagging Fed rate hike worries
  • Is global inflation nearing a peak?

Asian stocks slide as Wall St tips into bear market

Reuters
14 June, 2022, 09:00 am
Last modified: 14 June, 2022, 09:07 am
A street sign for Wall Street is seen outside the New York Stock Exchange (NYSE) in New York City, New York, US, July 19, 2021. Photo :Reuters
A street sign for Wall Street is seen outside the New York Stock Exchange (NYSE) in New York City, New York, US, July 19, 2021. Photo :Reuters

Asian shares tumbled on Tuesday after Wall Street hit a confirmed bear market milestone and bond yields struck a two-decade high on fears aggressive US interest rate hikes would push the world's largest economy into recession.

MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.9%.

Australian shares S&P/ASX200 sank 5% in early trade, while Japan's Nikkei stock index was down 1.74%.

In Hong Kong, the Hang Seng Index slipped 1.44% and China's CSI300 Index was down nearly 1% at the open.

The negative tone in Asia follows a bleak session in the U.S on Monday, which saw Goldman Sachs forecast a 75 basis point interest rate hike at the Federal Reserve's next policy meeting on Wednesday.

"The US will see rate rises faster and higher than Wall Street has been expecting," James Rosenberg, Ord Minnett advisor in Sydney told Reuters. "There will likely be the double impact of earnings forecasts being trimmed and further price to earnings derating."

Expectations for aggressive U.S rate hikes rose after inflation in the year to May shot up by a sharper than predicted 8.6%.

Fears of higher rates leading to a US recession kicked the S&P 500 down 3.88%, while the Nasdaq Composite lost 4.68%. The Dow Jones Industrial Average fell 2.8%.

The benchmark S&P 500 is now down more than 20% from its most recent record closing high, confirming a bear market, according to a commonly used definition.

In US trading, benchmark 10-year Treasury yields hit their highest since 2011 on Monday and a key part of the yield curve inverted for the first time since April as investors braced for the prospect that attempts to stem soaring inflation would dent the economy.

Early in Asia, the yield on benchmark 10-year Treasury notes rose to 3.3828% compared with its US close of 3.371% on Monday.

The two-year yield, which rises with traders' expectations of higher Fed fund rates, touched 3.4002% compared with a US close of 3.281%.

"Higher inflation, slower growth and higher interest rates are a damaging combination for financial assets," ANZ strategists wrote on Tuesday.

The dollar dropped 0.06% against the yen to 134.32 but remains close to its more-than-two-decade high of 135.17 reached on Monday.

The European single currency was flat at $1.0407, having lost 3.04% in a month, while the dollar index, which tracks the greenback against a basket of major currencies, was up at 105.19.

Bitcoin fell around 4.5% on Tuesday to $21,416, a fresh 18-month low, extending Monday's 15% fall as markets were jolted by crypto lender Celsius suspending withdrawals.

US crude dipped 0.06% to $122.14 a barrel. Brent crude was down 0.13% 122.14 per barrel.

Gold was slightly lower with the spot price at $1,818.7395 per ounce.

Top News / World+Biz

Bear market / Asian shares / Asian stocks / Asian Stock Market / Global Market / World economy / Global economy

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Photo: TBS
    Nine including engineer, crane operator arrested over Uttara BRT accident
  • Photo: Collected
    Celeb fan frenzy, political rally cause Dhaka traffic to go haywire
  • Road Transport and Bridges Minister Obaidul Quader
    UN can’t probe Bangladesh’s internal issues: Quader

MOST VIEWED

  • A person eats a sandwich in hot weather during lunch hour in the financial district of Canary Wharf in London, Britain, July 15, 2022. REUTERS/Kevin Coombs/File Photo
    Global shares fall, US Treasury yields rise ahead of Fed minutes
  • FILE PHOTO: Traders work on the floor at the New York Stock Exchange (NYSE) in New York, U.S., December 17, 2019. REUTERS/Brendan McDermid
    Wall St falls as growth stocks slide, Target weighs on retail shares
  • One US dollar banknote is pictured through broken glass in this illustration taken June 25, 2021. REUTERS/Dado Ruvic/Illustration/File Photo
    US, European banks could lose over $5 bln from risky buyout loans
  • Photo: Bloomberg
    A $379 billion hole emerges in developing nations’ war chests
  • A combine harvests barley in a field, as Russia's attack on Ukraine continues, in Odesa Region, Ukraine June 23, 2022. REUTERS/Igor Tkachenko
    Ukraine expects biggest convoy of ships to load since grain export deal
  • Photo: Collected
    Myanmar buys Russian oil as emerging markets take shunned supply

Related News

  • 'The end of the beginning' of this war on inflation
  • Fuel price a big concern for farmers, businesses
  • Over New York, London and Hong Kong? Time to move on
  • Asian stocks fall on nagging Fed rate hike worries
  • Is global inflation nearing a peak?

Features

Photo: Collected

Which Nintendo Switch should you switch to?

1d | Brands
Photo: Collected

Welcome to the age of glass facades

1d | Habitat
Photo: Mumit M/TBS

Why artificial oyster reefs are the answer to our coastal embankments problems

1d | Panorama
Illustration: TBS

Anwar Group: From comb maker to owner of 20 companies

1d | Panorama

More Videos from TBS

Vivo to bring new phone with 'special features'

Vivo to bring new phone with 'special features'

2h | Videos
Can Bangladesh buy fuel oil from Russia?

Can Bangladesh buy fuel oil from Russia?

2h | Videos
Sony launches 'Playstation Backbone' for iPhones

Sony launches 'Playstation Backbone' for iPhones

3h | Videos
High cost of baby food a problem for people with limited income

High cost of baby food a problem for people with limited income

3h | Videos

Most Read

1
From left Afzal Karim, Murshedul Kabir and Mohammad Jahangir
Banking

Sonali, Agrani and Rupali banks get new MDs

2
Photo: TBS
Bangladesh

5 crushed to death as BRT girder falls on car in Uttara

3
Dollar price drops by Tk8 in kerb market
Economy

Dollar price drops by Tk8 in kerb market

4
Representational Image. Photo: Collected
Bangladesh

Air passengers should plan extra commute time to airport: DMP

5
Dollar crisis: BB orders removal of 6 banks’ treasury chiefs 
Banking

Dollar crisis: BB orders removal of 6 banks’ treasury chiefs 

6
Ambassador of Switzerland to Bangladesh Nathalie Chuard. Photo: Courtesy
Bangladesh

Bangladesh never asked for particular info from Swiss bank: Ambassador

EMAIL US
[email protected]
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Privacy Policy
  • Comment Policy
Copyright © 2022
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - [email protected]

For advertisement- [email protected]