Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your experience. Save up to 40% More details

Asian Stocks Down, Inflationary Pressures Continue to Bite

Stock MarketsOct 27, 2021 10:34PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
© Reuters.

By Gina Lee – Asia Pacific stocks were mostly down on Thursday morning, over concerns that the economic recovery from COVID-19 will be hit as increased inflation forces central banks to tighten their monetary policies.

Japan’s Nikkei 225 fell 0.88% by 10:25 PM ET (2:25 AM GMT), with the Bank of Japan handing down its latest policy decision later in the day.

The European Central Bank will also hand down its policy decision, and the U.S. will also release data, including the third-quarter GDP, later in the day.

South Korea’s KOSPI inched down 0.04%, with Samsung Electronics (OTC:SSNLF) Co. Ltd. (KS:005930) third-quarter profit exceeding estimates.

In Australia, the ASX 200 was down 0.46% and Hong Kong’s Hang Seng Index was down 0.43%.

China’s Shanghai Composite tumbled 1.03% and the Shenzhen Component edged down 0.14%.

Ten-year and 30-year U.S. Treasuries sustained their respective rallies. However, sovereign-yield curves have continued to flatten this week, increasing growth concerns added to signs of growth concerns as inflationary pressures push central banks toward asst tapering. In Asia Pacific, Australia’s monetary authority decided against defending the bond-yield target, causing the April 2024 security to slide.

Commodities including aluminum, iron ore, and crude oil, dropped and in China, officials plan to cap a key coal price. China Evergrande Group’s next coupon payment deadline on Friday is also fast approaching.

Global shares are currently at all-time highs, with better-than-expected corporate earnings proving a boost. However, this rally’s sustainability is dependent on investor confidence that policymakers can curb inflation while sustaining the economic recovery from COVID-19.

There seems to be “less confidence that the U.S. Federal Reserve will be able to thread the needle and neither end up behind the curve with its taper timeline/gradual hikes nor ahead of the curve if it reacts too quickly,” Credit Suisse (SIX:CSGN) head of rates trading strategy Jonathan Cohn said in a note.

Rising numbers of COVID-19 cases in countries, including an “unusual surge” in Singapore, also continue to be of concern to investors.

Finance and health ministers from the Group of 20 will meet on Friday, ahead of the leaders’ summit that will take place over the weekend.

In cryptocurrencies, bitcoin moved even further k from the peak of almost $67,000 reached during the previous week, remaining below the $60,000 mark.

Asian Stocks Down, Inflationary Pressures Continue to Bite

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email