Asian equities ended the week on sharp loss as volatility spiked in the market on inflation and growth fears.
Shares in Mainland China, Hong Kong, South Korea, Thailand and Japan sharply with the MSCI Asian Index ex Japan dipped by 0.12%.
Treasuries extended a tumble that’s lifted the benchmark yield past 3% and a dollar gauge neared a two-year high.
Markets are awaiting for U.S. job report later tonight which is expected to show strong growth further drawing a line for Fed to hike rates fast in consecutive meetings.
“The Fed is attempting to land a B52 bomber on a piece of string and most risk markets still have their fingers in their ears and their hands over their eyes,” said James Athey, a London-based investment director at abrdn. “Hope is not a strategy.”
“Any upward pressure on the average hourly earnings could lead to another spike of U.S. yields and therefore add negative pressure on equities and especially tech stocks,” said Christophe Barraud, chief economist at Market Securities LLP in Paris as reported by Bloomberg.
Commodity prices remained elevated with the WTI trading around $110 a barrel and the Brent trading around $113 a barrel.
