Asian stocks fell Monday on a rout in Chinese technology shares, while Treasuries slid as elevated commodity prices stoke concerns that the U.S. may need aggressive monetary-policy tightening to tame inflation. The 7% plunge in a gauge of Chinese tech firms reverberated around the region, leaving an Asia-Pacific equity index in the red for a second session. A Covid lockdown in Shenzhen, a tech hub, added to geopolitical and regulatory risks facing the sector in part from strained ties between the U.S. and China. A climb in Japanese shares amid a weaker yen and gains for S&P 500, Nasdaq 100 and European futures eased some of the gloom. Investors were parsing efforts at diplomacy as Russia continues its war in Ukraine, as well as comments from a U.S. official that Moscow askedChina for military assistance. Treasuries extended a rout, taking the five-year U.S. yield above 2% for the first time since May 2019. The Federal Reserve on Wednesday is expected to begin a cycle of rate increases to tame inflation, starting with a 25 basis-points move. Crude dropped while remaining above $106 a barrel. The dollar climbed, commodity-linked currencies weakened and gold retreated. The ruble was indicated slightly stronger versus the greenback. The flattening U.S. Treasury yield curve, and a 12% drop in global stocks this year, signal worries that receding stimulus and higher costs for energy, grains and metals may choke the world economic recovery. Investors are also waiting to see if Russia defaults on its international debt after losing access to almost half of its foreign exchange reserves. Senior U.S. and China officials are set to meet Monday to discuss Ukraine. Russian missiles hit a military training facility in western Ukraine close to Poland, raising new concerns about the conflict potentially spilling over Ukraine’s borders.
Nikkei +0.58% Hang Seng -4.13% CSI -2.71% Shanghai -2.23% Shenzen -2.50%
Eur$ 1.0916 CNH 6.3649 CNY 6.3517 JPY 117.78 GBP 1.3019 CHF 0.9359 RUB 132.7260 TRY 14.85 WTI$ 106.03 -3% Gold 1973.60 -0.74% BTC 38,500 -0.48% ETH 2,570 +0.90%
S&P +0.75% Nasdaq +0.56% EuroStoxx +1.15% FTSE +0.43% Dax +1.33% SMI +0.60%
Macro :
- Italy Will Need to Borrow More to Face Crisis, Minister Says
- What Happens to Stocks When the Fed Hikes: A Historical Guide
- Goldman Cuts S&P 500 Target to 4,700 on Dimming Profit Outlook
- U.S. State Dept. Issues Additional Russian Oligarch Sanctions
- Abramovich’s U.S. Hedge Fund Investments to be Frozen: WSJ
- VIX Drifts Below 30 Despite Continued Market Selloff
- *FITCH DOWNGRADES 11 RUSSIAN UTILITIES TO 'CC'
Keep an eye on :
- AKZA NA : Akzo Nobel Sees Its Russian Operations Folding in Weeks: FT
- AAPL US : Foxconn Halts IPhone Shenzhen Site Due to Covid Lockdown
- BATS LN : BAT's Reduced Russia Guidance Likely Only Short-Term Drag: React
- BBVA SM : *SANTANDER, BBVA, CAIXABANK READY SOURED ASSETS SALES: EL CONFI
- BEAN SW : Belimo’s Strong Growth Seen to Continue, Morgan Stanley Upgrades
- BRK/A US : Family of Late Berkshire Billionaire Retains $7.5 Billion Stake
- FBAV BB : BNP Paribas Fortis Sells Euroclear Stake to SFPI-FPIM
- BCHN SW : Burckhardt Suspends New Business With Russia
- CS SS : Crypto Firm Raises Stake in Swiss Bank in $26.5 Million Tie-Up
- AM FP : Germany Wants to Equip Airforce With Lockheed Martin F-35s: DPA
- DBK GY : Deutsche Bank Joins Peers in Winding Down Operations in Russia
- DEZ GY : Deutz FY Adjusted Ebit Misses Estimates
- DB1 GY : Huntsman Wins Glass Lewis Support in Fight With Starboard
- EDF FP : EDF Sees EU26.2B FY Impact From Regulatory Measures, Output Cut
- EDF FP : Billionaire Al Amoudi Backs Small Reactor Project in Sweden: DI
- EBS AV : Russia Risk Unlikely to Wreck Erste's CEE Growth Story: BI Focus
- Ferretti IPO : Ferretti Starts Gauging Investor Demand for H.K. IPO: Terms
- HSBA LN : HSBC's Chinese CRE Exposure Modest at $21 Billion; Still a Risk
- KESKOB FH : Kesko Feb. Sales From Continuing Operations EU852.1M
- TL5 SM : Berlusconi’s Broadcaster MFE Said to Weigh Bid for Spanish Unit
- TYRES FH : EU Auto Suppliers Could Face Inflation Risk; Nokian Most Exposed
- ORP FP : Orpea Says 2021 Ebitda Rose 12% to 1.04 Billion Euros
- OXY US : Berkshire Bought 27.1 Million Occidental Shares, Filing Shows
- RNO FP : Renault Is Said to Be Reluctant to Leave Russia Over Costs
- SPM IM : Saipem Postpones Board Meeting to March 24
- SAN FP : Sanofi Says Amcenestrant Phase 2 Trial Didn’t Meet Primary Goal
- SAP GY : SAP Seeks to Raise Fees for Largest Partners in Program Revamp
- STAN LN : StanChart Searches for Risk Head, Starts Plan for Next CFO: FT
- TLX GY : Talanx FY Gross Written Premiums Beats Estimates
- TIT IM : Telecom Italia Said to Empower CEO to Discuss KKR Bid Details
- UTDI GY : United Internet to Start German Mobile Network This Year: Welt
- UN01 GY : Cash-Strapped German Utilities Seek Government Aid: Reports
- FR FP : EU Auto Suppliers Could Face Inflation Risk; Nokian Most Exposed
- VOW3 GY : VW Targets Stable Profit Margin as War Clouds Outlook
- WDI GY : Prosecutors Charge Ex-Wirecard Chief Braun, Handelsblatt Says