Asia stocks pressured by Wall Street losses, dollar sags
Asian stocks slipped on Wednesday, pressured by losses on Wall Street as the technology sector stuttered yet again after a brief rebound, while the dollar sagged on lower long-term U.S. yields.
MSCI`s broadest index of Asia-Pacific shares outside Japan <.MIAPJ0000PUS> inched down 0.2 percent.
Australian stocks <.AXJO> and South Korea`s KOSPI <.KS11> were down 0.2 percent, respectively. Japan`s Nikkei <.N225> lost 0.5 percent.
Exclusive | HAL explores advanced light helicopter, Tejas MK-1A fighter jet deals worth Rs 70,000 crore with four nations, say sources
Tata Power shares near record high after power generator joins hands with Indian Oil to set up EV charging points
Government to stick to Rs 33.61 lakh crore tax collection target in revised estimate, no case for fuel tax cut: Official
Coca Cola India forays into Alcohol segment alcoholic beverage stocks Radico Khaitan, UBL, Sula Vineyards, Som Distilleries shares rise Tilaknagar Industries stock declines
D-Street Newsmakers: Tata Power, Subros, Ashok Leyland among 10 stocks that buzzed the most on Monday
The S&P 500 information technology index <.SPLRCT> barely rose overnight as it gave up much of the 1.4 percent intraday gains. The year`s top-performing sector was still down nearly 4 percent over the past week, with investors shifting money to banks, retailers and other stocks seen as likely to benefit the most from tax cuts promised by U.S. President Donald Trump. [.N]
As a result the S&P 500 <.SPX> fell for the third straight session overnight. The Dow <.DJI> and Nasdaq <.IXIC> also retreated.
"The retreat in U.S. shares coincides with profit taking by investors before they close their books for the year-end. A lot of such year-end window dressing already appears to have taken place in emerging market equities," said Kota Hirayama, senior emerging markets economist at SMBC Nikko Securities in Tokyo.
"The main focal point for emerging market equities is how U.S. yields move towards the year end. The Federal Reserve`s monetary policy stance for next year bears close watching due to its impact on U.S. yields, and in turn the various equity markets."
Fed funds futures prices showed that investors see a rate increase at Federal Reserve`s Dec. 12-13 meeting as a done deal and much of the focus is on the outlook for rates in 2018 and beyond.
The two-year Treasury yield
But the 10-year Treasury yield
The dollar dipped, weighed by sagging long-term U.S. yields. The dollar index against six major currencies slipped 0.05 percent to 93.337 <.DXY>.
The greenback dipped 0.1 percent to 112.470 yen
The pound extended overnight losses and last stood at $1.3412
Sterling had fallen to as low as $1.3370 on Tuesday on disappointment after May failed to clinch a deal to open talks on post-Brexit free trade with the European Union.
In commodities, U.S. crude oil futures
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)