International Finance: Stocks slump deepens, dollar rises on haven demand: market wrap

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Equities extended their decline in Asia while the dollar rose against major currencies including the yen as investors weighed the risk of recession and tighter monetary policy.

Shares in Hong Kong were headed to the lowest level in a decade, led by technology companies, and Chinese stocks tumbled to a six-month low. South Korea’s benchmark index fell after the central bank pivoted back to outsized interest-rate increases.

The risk aversion bolstered the dollar and the yen weakened beyond a level that in the past has triggeredas investors prepare for higher US rates while the Bank of Japan sticks with ultra-easy policy settings. US consumer price data due on Thursday that may determine if the Fed increases rates by 75 basis points in a fourth consecutive move in November.

Gilts trading had closed prior to Bailey’s comments. In addition to the impact on the pound, the 10-year Treasury yield on Tuesday closed at the highest level since 2010.

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International Finance: Stocks, treasuries fall as inflation angst rises: markets wrapTechnology companies led stocks lower in Asia amid concern that rising interest rates and geopolitical threats will crimp economic growth.
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