Asia stocks slump as bond selloff spooks markets By Reuters

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Asia stocks slump as bond selloff spooks markets

© Reuters. FILE PHOTO: A man walks past an electric monitor displaying the Japanese yen exchange rate against the U.S. dollar, Euro and other foreign currencies outside a brokerage in Tokyo, Japan May 2, 2023. REUTERS/Issei Kato/File Photo

The spike in Treasury yields lifted the dollar to new heights with only the yen showing some fight amid speculation the Japanese authorities might be intervening behind the scenes. There was no confirmation from Tokyo, where Japan's finance minister and top currency diplomat have made no direct comment on the move. The yen last stood at 149.181 per dollar. [FRX/]

Since the move has not come with much of a shift in market gauges of inflation expectations, U.S. yields in real terms - subtracting inflation - are also at almost 15-year highs and are sucking money from all corners into dollars.

 

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