Customers at a fresh food market on Monday, August 7, 2023 in Shanghai, China.
Bloomberg | Bloomberg | Getty Images
The U.S. inflation rate in March was higher than expected, raising concerns that the Federal Reserve may maintain high interest rates for longer, and Asia-Pacific markets tumbled.
The U.S. consumer price index rose 3.5% from the same period last year and 0.4% from the previous quarter. Economists surveyed by Dow Jones had expected a quarterly increase of 0.3% and an annual increase of 3.4%.
Excluding the volatile food and energy components, core CPI also rose 0.4% from the previous quarter and 3.8% from the same period last year, compared with forecasts of 0.3% and 3.7% respectively.
China’s consumer inflation rate slowed to 0.1% in March from 0.7% in February. Economists polled by Reuters expected consumer prices to rise 0.4% in March.
The producer price index decreased by 2.8% year-on-year, in line with expectations.
Hong Kong’s Hang Seng Index fell 1.18%, while mainland China’s CSI 300 Index fell less, at 0.56%.
South Korean markets resume trading after public holiday, Cospi Kosdaq Small Cap fell 0.48% and Small Cap fell 0.36%.
South Korea’s liberal opposition scored a landslide victory in Wednesday’s parliamentary election, potentially hampering efforts by President Yun Seok-yeol and his conservative party to advance their legislative agenda.
Japan’s Nikkei 225 Index It fell 0.69%, while the Topix fell 0.15%.
In Australia, S&P/ASX 200 Index down 0.72%.
Overnight, all three major U.S. stock indexes plummeted as 10-year Treasury yields soared. Dow Jones Industrial Average Leading the losses and plunging 1.09%.
this S&P 500 Index fell 0.95%, with 10 of the 11 S&P 500 sectors ending in the red, while Nasdaq Index down 0.84%.
The rate is 10 Year Treasury Bill It topped 4.5%, while the 2-year Treasury yield surged to nearly 5%.
—CNBC’s Sarah Min and Sophie Kiderlin contributed to this report.
About The Author
