- Asian markets sank on as rising US inflation boosted the case for aggressive monetary tightening and triggered a Wall Street sell-off.
- An Asian stock index fell due to falls in Hong Kong and Japan, as well as mixed results in China. After the S&P 500 fell to its lowest level since March 2021 and the tech-heavy Nasdaq 100 dropped 3%, US futures stabilised.
- Concerns that the Fed's monetary tightening may cause an economic slowdown have caused the Treasury curve to flatten. The 10-yr US Treasury rate fell to 2.90%, the dollar fell, and oil rallied as US gasoline inventories fell.
- After the city's currency plummeted to the weak end of its trading band, Hong Kong intervened. Ebbing liquidity and dwindling appetite for speculative assets helped digital tokens recover from a Wednesday drop. This week, Bitcoin has lost roughly 13% of its value.
