Stock Market Today: Asian shares retreat after Trump's victory as focus turns to the Fed

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Elon Musk,World News

Shares have fallen in Asia after U.S. stocks stormed to records as investors made bets on what Donald Trump’s return to the White House will mean for the economy and the world.

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A man passes a video monitor on the side of the New York Stock Exchange in New York's Financial District on Tuesday, Nov. 5, 2024. A tv cameraman films the screens showing the Korea Composite Stock Price Index , left, and the foreign exchange rate between U.S. dollar and South Korean won at a foreign exchange dealing room in Seoul, South Korea, Thursday, Nov. 7, 2024.

A TV camera screen shows the foreign exchange rate between U.S. dollar and South Korean won and the Korean Securities Dealers Automated Quotations at a foreign exchange dealing room in Seoul, South Korea, Thursday, Nov. 7, 2024. People pass the New York Stock Exchange in New York's Financial District on Tuesday, Nov. 5, 2024. Markets also were turning their attention to the Federal Reserve’s decision on interest rates, due later in the day.Japan's Nikkei 225 shed early gains to fall 0.

Investors see Trump’s policies potentially leading to stronger economic growth. That helps push prices down and yields up for Treasurys. Tax cuts under Trump could further swell the U.S. government’s deficit, increasing borrowing and forcing yields even higher. The yield on the 10-year Treasury jumped to 4.43% from 4.29% late Tuesday, which is a major move for the bond market. It’s up substantially from August, when it was below 4%.

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