Asian shares decline on Fed aftermath

21.06.2021 - Petr Mazaylo
Asian shares decline on Fed aftermath

Tuesday saw a decline in Asian share markets, with investors still digesting the possible effects of the Federal Reserve’s sudden hawkish shift. 

Japan’s benchmark index Nikkei stood as the biggest decliner, recording a total of 3.3% drop to slip below 28,000 for the first time in a month. MSCI’s broadest index of Asia-Pacific shares outside Japan traded 1% during its early trade. Chinese blue chips shed 0.4%, while Australia’s benchmark tallied a 1.8% crash. 

Economically sensitive sectors, such as banks and energy firms, were hurt by the Fed’s policy meeting on Wednesday. The effect still lingers in the markets after the central bank’s decision to implement rate hikes in 2023 dampened investors’ enthusiasm. More so, St. Louis Fed President James Bullard further fuelled the selloff by highlighting inflation as a natural response to economic growth. 

Risk disclaimer "PROMETHEUS LTD – Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH96960 is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0155 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of PROMETHEUS LTD and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from umarkets.net or PROMETHEUS LTD." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue
×

Help with deposit?