Asian markets decline with Nikkei 225 index taking most beating

14 Jan 2022 , 02:58 PM

Asian markets on Thursday were broadly on a negative note tracking selloff of overnight from Wall Street, with energy and technology stocks primarily dragging the markets to the downside. 

Japan’s Nikkei 225 fell 1.28% to close at 28,124.28, while the Topix tumbled 1.39% to 1,977.66, South Korea’s Kospi fell 1.36% at 2,921.92 and Australia’s ASX 200 slipped 1.08% at 7,393.90. Hong Kong’s Hang Seng index fell 0.32%.

On the economy front, China’s exports grew slightly more than expected in December, while imports rose less than expected, according to customs data released Friday.

US consumer price index climbed 7% in 2021, which was the highest 12-month gain since June 1982. The inflation gauge exceeded the forecasts and rose 0.5% from November 2021. The market remains volatile due to concerns over inflation and how quickly Fed might raise interest rates to curb the upward pressure on prices. The stock market opened higher but closed near session lows.

Investors this week have been weighing concerning signs of lingering price pressures across the U.S. economy as key central bank officials from the Federal Reserve is ready to take action to bring down inflation.

Despite being up for much of the session, the Dow Jones Industrial Average fell 0.5%. The S&P 500 index declined 1.4% while Nasdaq Composite fell 2.5%. US 10-year bond yield inched up marginally by 2bps to 1.729%, while crude also corrected from high.