The yen surged and Asian shares fell sharply on Tuesday after Japan's central bank unexpectedly tweaked its bond yield controls - a move that will allow long-term interest rates to rise more.
In early European futures trading, the pan-region Euro Stoxx 50 futures were down 1.23% at 3,772, German DAX futures were down 1.32% at 13,832 and FTSE futures were down 0.83% at 7,306.5.In Asian trading, the yield on benchmark 10-year Treasury notes rose to 3.6825% compared with its U.S. close of 3.583% on Monday.
The two-year yield , which rises with traders' expectations of higher Fed fund rates, was at 4.2848% compared to the US close of 4.262%. China's reopening to the rest of the world from nearly three years of COVID lockdowns continued to be a major concern for investors. Credit Suisse on Monday upgraded its outlook from neutral to outperform for China's equities markets in the year ahead.
"The whole narrative of China has changed, it's gone from COVID zero that was putting the economy under pressure and there's now an intention to move towards a reopening," Suresh Tantia, Credit Suisse's senior investment strategist.U.S. crude ticked up 0.41% to $75.5 a barrel. Brent crude rose to $79.87 per barrel.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Forex Today: Asian Stocks Lower as Risk-Off Sentiment DominaToday's Forex news: Asian Indices Down as Week Opens; Yen Jumps on BoJ Hawkish Pivot Signs.
Read more »
Asia stocks rattled by BOJ policy shift, Nikkei hits 2-month low By Investing.com⚠️BREAKING: *ASIA STOCKS RATTLED BY BOJ POLICY SHIFT, NIKKEI SINKS TO 2-MONTH LOW AS YEN SPIKES HIGHER 🇨🇳 🇭🇰 🇯🇵 🇰🇷 🇹🇼
Read more »
Japanese yen rallies to 4-month high on BOJ policy tweak, Asia FX slips By Investing.com⚠️BREAKING: *JAPAN'S YEN RALLIES TO 4-MONTH HIGH AFTER SURPRISE BOJ POLICY TWEAK $JPY 🇯🇵 🇯🇵
Read more »
Japan govt to consider revising joint statement with BOJ - sourcesThe Japanese government will consider revising next year a joint statement it signed with the Bank of Japan (BOJ) in 2013 that commits the central bank to meeting a 2% inflation target as soon as possible, sources told Reuters.
Read more »
Nearly 50% of economists see BoJ unwinding ultra-easy policy in 2023 – Reuters pollAccording to the latest Reuters poll, nearly half of the economists surveyed believe that the Bank of Japan (BoJ) may unwind its ultra-loose monetary
Read more »