Asian Stocks Drop & Yen Reduces Losses Following Fall – Asia Market Wrap

Following a decrease in late US trading for the biggest US IT giants, Asian markets also fell. After plunging on Wednesday, the Yen steadied, sparking new rumours that the government may intervene to prop up the currency.

With the declines in South Korea, China, Japan, and Hong Kong stocks, the MSCI Asia Pacific measure headed towards its first loss in three days. Following big tech’s negative reaction to Micron Technology’s projection, which fell short of the high standards set for the sector that has driven the stock market’s bull run, US equity futures declined.

The Yen recovered as much as 0.3% after falling 0.7% to reach 160.87 per Dollar, the lowest since 1986 and considerably below the point at which authorities entered the market in April. Compared to the dollar, the currency has decreased by almost 12% this year.

As the Dollar rose, a measure of emerging-market currencies sank to almost its lowest point in two months, and a measure of Asian currencies dropped to levels last seen in 2022. Treasury bonds continued to fall on Friday due to fears that the US PCE data would confirm that inflation is still high.