TOKYO: Japan’s Nikkei share average sank on Friday, tracking declines on Wall Street after robust US economic data stoked bets that stubborn inflation may delay Federal Reserve interest rate cuts.
The Nikkei sagged 1.17% to 38,646.11 as of the close, and had earlier dipped as much as 1.9%. The broader Topix dropped 0.44%.
All three main US equity indexes declined overnight, led by a 1.5% slump for the Dow, after US manufacturers reported a surge in prices for a range of inputs, suggesting that goods inflation could pick up in the months ahead.
The benchmark US 10-year bond yield climbed to a more than one-week peak of 4.498% as traders pared back bets to a likely single quarter-point rate reduction this year, from a consensus for two cuts previously.
Comments
Comments are closed for this article.