Asian markets were trading mostly lower with Hong Kong’s Hang Seng index down 1.67%. Japanese markets were closed for a holiday. The Shanghai Composite was down 0.67% while the Shenzhen Component dipped 0.267%. South Korea’s Kospi slipped 0.95% and the S&P/ASX 200 shed 0.73%.
On Friday, US stocks see another day of declines as Friday sees triple witching with all derivative contracts expiry adding to volatility. Nasdaq closes lower by 1% while Dow Jones closed lower by 245 points. Bond yields climb to 0.69% even as US$ sees weakness continue as Federal Reserve indicates lower rates to continue into 2023.
The S&P 500 index SPX lost 1.1%, led by a selloff of tech companies that led this year’s rebound. Market momentum shifted after the Federal Reserve said last week the U.S. economic outlook is uncertain. Growth in some industries has slowed after additional unemployment benefits that supported consumer spending slowed. Congress is yet to agree on a new support package.