-- Asian stocks are set to fall in early trading as the rout in US equities deepened amid geopolitical angst and worries global interest rates will stay elevated for longer.Australian stocks declined and futures contracts in Japan and China pointed to drops on Monday morning, while oil opened slightly lower. The S&P 500 on Friday broke the 200-day moving average — seen by some as a bearish signal — and the VIX, Wall Street’s “fear gauge,” jumped to its highest since March.
“Markets are again on high alert for a possible BOJ intervention,” Commonwealth Bank of Australia strategists including Joseph Capurso wrote in a note to clients on Monday. The yen is likely to remain under pressure this week “as the rise in the 10-year Japanese government bond yield, amid growing speculation of BOJ policy tightening, will do little to reduce Japan’s wide bond yield gap with the US.
MONTREAL — Business groups urged the federal government to intervene to void a lengthy labour dispute at the St. Lawrence Seaway amid concerns that a strike that began early Sunday could have a profound affect on their members. The St. Lawrence Seaway shut down after hundreds of workers walked off the job shortly after midnight over failed contract negotiations.