Asia tracks Wall Street losses on Fed tightening concerns

asia stock market
HONG KONG –  Asian stocks opened with losses on Monday, as unease lingered over tightening monetary policy by the Fed and investors awaited earnings reports by retailers due this week.
Wall Street stocks mostly fell Friday. Both the S&P 500 and the Nasdaq retreated as the yield on the 10-year US Treasury note climbed above 2.7 percent, a signal markets are preparing for more tightening as the Federal Reserve battles inflation.

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The losses continued Monday in Tokyo, as well as in Hong Kong and Shanghai where the main indexes lost more than two percent.
Taipei and Seoul were also down, while Sydney and Jakarta posted slight gains.

“Stocks are soft at the Monday open on increasing evidence the Federal Reserve will take a more committed approach to its monetary policy inflation-fighting stance,” said Stephen Innes at SPI Asset Management.
“However, markets have been surprisingly resilient as discussions under the surface debated whether this week’s US March CPI data will hint at the peak of the inflation cycle and help the Fed’s chance to better engineer a soft landing, however narrow that path may seem.”

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