Asia Stocks Unsettled by Yields, Nikkei Hit by BOJ Shift


Asian share markets slipped on Friday after a spike in global bond yields soured sentiment toward richly priced tech stocks, while a stampede out of crowded positions may have put an end to the bull run in crude oil.

Having plunged 7 overnight, Brent crude futures managed a feeble bounce of just 11 cents to 63.39 a barrel, while U.S. crude added 6 cents to 60.06. OR

The retreat wiped out four weeks of gains in a single session amid worries world demand would fall short of high expectations.

Markets were also unsettled by the Bank of Japans BOJ decision to slightly widen the target band for 10year yields and tweak its buying of assets.

The bank portrayed the changes as a nimble way to make easing more sustainable, though investors seemed to take it as a step back from allout stimulus.

A decision to confine purchases to only TOPIXlinked ETFs knocked the Nikkei down 1.6, while South Korea lost 1. MSCIs broadest index of AsiaPacific shares outside Japan followed with a fall of 1.5.

Chinese blue chips shed 1.9, perhaps unnerved by a fiery exchange between Chinese and U.S. diplomats at the first inperson talks of the Biden era.

Nasdaq futures went flat, after a sharp 3 drop overnight, while SP 500 futures added 0.1. European futures followed the overnight fall with the EUROSTOXX 50 off 0.8 and FTSE futures 0.6.

Investors are still reflecting on the U.S. Federal Reserves pledge to keep rates near zero out to 2024 even as it lifted forecasts for economic growth and…

USD Down as Fed keeps Rate Forecasts Unchanged

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