Tokyo’s main index closes lower following overnight losses in Wall St
Asian equities are on the back foot for the most part today after weaker sentiment seen from overnight trading in Europe and US markets. Chinese stocks have recovered some ground after the lunch break but the general mood remains softer as we see the Nikkei end with losses of more than 1% and falling back below its 100-day moving average (red line).
Bond yields in general are also weaker with Treasury yields lower and we’re seeing Japanese 10-year bond yields also fall to -0.1%, its lowest level since March now. That is keeping pressure on yen pairs with USD/JPY holding lower at 109.25 as we begin the session.