Upbeat bond yields drag Asian shares; dollar yanks yen
Asian share markets were seen downbeat on Friday. The decline was mainly from an increase in U.S. Treasury yields, which greatly affected equity investors and boosted the dollar to a three-month peak. In turn, the Japanese yen hit a record of eight-month low.
During Friday’s early trade, Australian shares recorded a 1% decline. Japan’s Nikkei dropped 0.7%, while South Korean shares plunged 0.24%. S&P 500 e-minis traded 0.04% lower.
U.S. stocks performed weakly on Thursday. This came after Federal Reserve Chair Jerome Powell announced the central bank’s decision of keeping its bond-buying program in a bid to hold down longer-term interest rates.
In currency markets, the yen fell behind a stronger dollar. The Japanese yen firmed at 107.95, hitting a record not seen since July 1 of 2020.