Search Share Prices
Asia report: Markets end lower as US Treasury yields increase
(WebFG News) - Markets in Asia ended their sessions lower on Wednesday, with investors following the lead of their American counterparts overnight in expressing concern for the state of the US economy, as well as rising interest rates.
In Japan, the Nikkei 225 was down 0.28% at 22,215.32, as the yen weakened against the dollar to last trade at JPY 109.22.
The broader Topix was off 2.02% at 1,767.73, with Takeda Pharmaceuticals stock plunging 7.03% after it was revealed the firm would increase its bid to acquire Shire to around £46bn.
On the mainland, the Shanghai Composite fell 0.35% to 3,118.00, and the smaller, technology-heavy Shenzhen Composite managed to gain 0.26% to settle at 1,809.25.
South Korea's Kospi was off 0.62% at 2,448.81, while the Hang Seng Index in Hong Kong slid 1.01% to 30,328.15.
Risk-off sentiment in the region was fuelled by similar feelings on Wall Street overnight, after the yield on 10-year US Treasury bonds reached 3% for the first time since the beginning of 2014.
"The normalisation of US yield at a faster than expected pace raised the concern about equity valuation, which led to increasing market volatility," noted analysts at OCBC Bank in Singapore.
On the geopolitical front, US president Donald Trump confirmed in a press conference with French president Emmanuel Macron that Washington could soon reach agreement with Paris to keep the 2015 Iran nuclear deal in place.
Oil prices were lower as the region went to bed, with Brent crude last down 0.7% at $73.44 per barrel and West Texas Intermediate falling 0.43% to $67.41.
In Australia, the ASX was closed for the ANZAC Day holiday, as was the NZX across the Tasman Sea in New Zealand.
Both of the down under dollars were weaker on the greenback, with the Aussie last off 0.57% at AUD 1.3226 and the Kiwi retreating 0.67% to NZD 1.4141.