US yield drop helps lift most Asian indexes, but Chinese stocks fall

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The economic giant surprised markets by keeping benchmark lending rates unchanged

Hong Kong — Mainland China and Hong Kong stocks fell on Thursday, hurt by worries about the Chinese economy, but an overnight tumble in longer dated US treasury yields lent support to other benchmark indexes.

The 10-year yield was last at 2.8455%, a whisker higher in Asia morning trade, but still bruised after falling overnight from as high as 2.981% in early trade on Wednesday. He added that “equity futures look positive, with Asian markets also showing some signs of positive risk appetite for the near term”.

China’s central bank, however, set the midpoint rate for the yuan at its weakest since November on Wednesday, ahead of the lending rate announcement. It also set it lower still on Thursday. The yen has been hurt by the Bank of Japan keeping yields pinned down low while rates rise in the US.

 

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