- As risks from high inflation, tightening monetary policy, and China's covid outbreak rippled through markets, Asian stocks fell while bonds fell, leaving the 10-year treasury yield at its highest since 2018.
- The Asia-Pacific equity index of MSCI fell for a second day, with Japan underperforming. Futures in the US and Europe were lower on Monday, following a Wall Street retreat that pushed losses in the technology-heavy Nasdaq 100 past $1trln in the previous five sessions.
- Hong Kong saw modest gains as tech shares rose following China's approval of the first batch of new video game licences since July. This step may alleviate some of the most serious concerns about Beijing's gaming-sector restrictions.
- As the global bond rout continued, US treasuries fell, pushing the 10-year yield past 2.8%. Since 2020, the dollar index has been on a winning streak. Both trends reflect expectations that the Federal Reserve will tighten the most rapidly since 1994. Debt in Australia and New Zealand has also decreased.
- Oil prices have stabilised following a drop that saw crude recoup the majority of the gains caused by Russia's invasion of Ukraine. In pursuit of a contentious covid-zero strategy, China's virus outbreaks and mobility restrictions are jeopardising demand.
