Asia’s Stock Selloff Cools Whilst Futures Rise – Asia Market Wrap

A global stock selloff slowed in Asian hours, with futures on US equity indexes, Treasury rates, and cryptocurrencies all recovering from severe losses at the start of the trading day.

The tone in financial markets remained tense as Wall Street investors modified their bullish outlook amid concerns that tariffs and government expenditure cuts will stymie growth in the world’s largest economy. Equity-index futures for the S&P 500 rose as much as 0.3% after falling more than 1% in early Asian trade. Contracts for Nasdaq 100 and European stocks rose as well.

Asian stocks sank to a five-week low Tuesday, following the Nasdaq 100’s worst day since 2022. Equity indexes in Hong Kong and China also pared their losses. 2-year Treasury yields rose after falling to their lowest level since October, while the Dollar index fell.

Oil fell for the second day in a row, matching a drop in equities markets and other risk assets amid fears that tariffs and other measures could stifle development in the world’s largest economy. Gold has increased somewhat. Cryptocurrencies fell further as fears of a sell-off in US markets overshadowed Trump’s recent efforts to support the industry.