- Following hawkish statements from Fed officials, Asian markets fell, while the dollar rose to a new high as a White House official ruled out a currency accord to weaken the greenback.
- A measure of Asian stocks sank as markets in Japan, Hong Kong, and Australia opened lower. US futures fell after the S&P 500 completed its worst run since early 2020.
- The offshore yuan plummeted to a record low as the Fed's tightening stance dampened morale. The pound and euro also fell, but the yen remained stable against the dollar.
- The yield on a 10-yr US Treasury note exceeded 4%, reaching its highest level since early 2010. Rates on comparable dated Australian bonds hit a three-month high on Tuesday, while Japan's benchmark yield finished at the top limit of the central bank's target band.
- Dollar demand underscores market anxiety as markets brace for higher interest rates. Federal Reserve members reaffirmed their commitment to containing inflation, with Fed's Bullard emphasising the necessity for tighter monetary policy.
