- Bond yield continue to rise - hitting sentiment towards stocks
- Tech heavy Nasdaq takes the brunt of US selling overnight with Asia following suit
- Cypto exchange IPO in focus
Stock markets are in retreat as bond yields advance. Yields are rising across the globe, prompting investors to ditch stocks, especially richly valued growth names. The tech-heavy Nasdaq fell 3.5 per cent, with the broader S&P 500 down 2.5 per cent. Tesla declined another 8 per cent, while Apple and Amazon tracked about 3 per cent lower. Asian markets sold off by the most in 11 months with shares in Tokyo down 4 per cent, while the Hong Kong market dipped over 3.5 per cent. European stocks followed suit with broad-based selling in early trade on Friday, but early losses of more than 1 per cent were pared as the buy-the-dip mentality lives on. The FTSE 100 should be more insulated to rising rates since it’s a) nowhere near all-time highs and b) is well exposed to global cyclical growth.