Market news

23 November 2021

Asian Stock Market: Grinds lower as Japan holiday tames strong yields

  • Asian shares seesaw amid a quiet session with Labor Thanksgiving Day in Japan.
  • Powell’s re-nomination as the Fed Chair boost rate hike concerns and yields.
  • US warships again sail on Taiwan Strait, covid woes renew in the west.
  • Preliminary PMIs for November eyed ahead of Wednesday’s FOMC Minutes.

Off in Japan joins a light calendar to offer sluggish Asian session on Tuesday. Even so, the Asia-Pacific shares remain pressured amid firmer yields as Fed hawks cheer US President Joe Biden’s decision to nominate Jerome Powell for another term as the Federal Reserve (Fed) Chair and Richard Clarida for Vice-Chairman.

That said, MSCI’s index of Asia-Pacific shares outside Japan rises 0.75% whereas the US 10-year Treasury yields remain lackluster around 1.62% ahead of the European session.

Australia’s ASX 200 prints mild gains as mixed PMIs from the Commonwealth Bank of Australia joined comments from Marion Kohler, Head of Domestic Markets at the Reserve Bank of Australia (RBA). Alternatively, New Zealand’s NZX 50 prints mild losses despite downbeat Q3 Retail Sales amid strong bets over the Reserve Bank of New Zealand’s (RBNZ) rate hike during Wednesday’s monetary policy decision.

Elsewhere, fears of China’s softer economic growth and fresh covid woes from the West challenge the equity bulls from Beijing, which in turn drowns shares from South Korea, Indonesia, India and Hong Kong. Also weighing on the Asia-Pacific stocks are fears of fresh US-China tussles as the US warships again sail on the sensitive Taiwan Strait on Tuesday.

On a broader front, firmer US Treasury yields probe equity bulls ahead of the preliminary readings of the November month PMIs for the UK, Eurozone and the US.

Moving on, PMIs and Fed-rate-hike concerns may challenge the share markets while talks over covid resurgence and stimulus from Japan, China and the US can keep buyers hopeful.

Read: US 10-year yield shoots back above 1.60% while 2, 5 and 7-year yields all hit multi-month highs on Powell renomination, bad auctions

Market Focus

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer.

Open Demo Account
I understand and accept the Privacy Policy and agree that my name and contact details can be used by TeleTrade to contact me about the information I have selected.
23 International Awards
Have a question?

We are ready to assist you in every step of your trading experience
by providing 24/5 multilingual customer support.

Follow us

Risk Warning: Trading Forex and CFDs on margin carries a high level of risk and may not be suitable for all investors. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.72% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Prior to trading, you should take into consideration your level of experience and financial situation. TeleTrade strives to provide you with all the necessary information and protective measures, but, if the risks seem still unclear to you, please seek independent advice.

© 2011-2022 Teletrade-DJ International Consulting Ltd

Teletrade-DJ International Consulting Ltd is registered as a Cyprus Investment Firm (CIF) under registration number HE272810 and is licensed by the Cyprus Securities and Exchange Commission (CySEC) under license number 158/11.

The company operates in accordance with the Markets in Financial Instruments Directive (MiFID).

The content on this website is for information purposes only. All the services and information provided have been obtained from sources deemed to be reliable. Teletrade-DJ International Consulting Ltd ("TeleTrade") and/or any third-party information providers provide the services and information without warranty of any kind. By using this information and services you agree that under no circumstances shall TeleTrade have any liability to any person or entity for any loss or damage in whole or part caused by reliance on such information and services.

TeleTrade cooperates exclusively with regulated financial institutions for the safekeeping of clients' funds. Please see the entire list of banks and payment service providers entrusted with the handling of clients' funds.

Please read our full Terms of Use.

To maximise our visitors' browsing experience, TeleTrade uses cookies in our web services. By continuing to browse this site you agree to our use of cookies.

Teletrade-DJ International Consulting Ltd currently provides its services on a cross-border basis, within EEA states (except Belgium) under the MiFID passporting regime, and in selected 3rd countries. TeleTrade does not provide its services to residents or nationals of the USA.

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.72% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Choose your language/location