Asian stocks fall again as Europe’s gas woes bite

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Energy prices stoke fears of recession and push bond yields higher

Sydney — Asian shares were down for a sixth straight session on Tuesday after a renewed spike in European energy prices stoked fears of recession and pushed bond yields higher, while tipping the euro to 20-year lows.

Sterling was down at $1.1766, after diving as deep as $1.1743 and levels last seen in March 2020 at the start of the pandemic. That saw the dollar index up to 108.870 and within a whisker of its July peak. “But growth in the services sector seems unlikely to accelerate by much so long as China’s zero-Covid policies remain in place; the pandemic-linked export boom is coming to an end; and power shortages due to droughts in parts of the country look set to hobble industry in the near term.”MSCI’s broadest index of Asia-Pacific shares outside Japan dipped 0.4%, and has fallen every day in the past week.

 

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Business Maverick: UK’s Sunak tells Truss to choose tax cuts or energy supportRishi Sunak has told Liz Truss, his rival and the front-runner in the race to be the next UK prime minister, she can’t deliver both support for struggling British households this winter and stick to her flagship policy of tax cuts. Oh yes she can!!!!
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