Asian stocks go down on enhanced American rate hike prospects
On Friday, Asian stocks went down, as global bond yields added and pulled the greenback to three-month peaks versus the Japanese yen, after the latest batch of American data increased chances for a near-term interest rate lift by the Federal Reserve.
Positive American data including jobless claims, manufacturing activity as well as pending home sales strengthened the case for the major US bank to increase rates by the year-end and spurred Treasury yields that had already surged in the wake of a soar in British as well as euro zone yields.
The markets' focus was currently turned toward third quarter American GDP data due out later in the global trading session.
Outside Japan MSCI's broadest index of Asia-Pacific shares dropped 0.3%, pressured by the prospect of easy money flows being crimped if the Fed tightens its policy soon.
South Korean Kospi lost 0.3%, Australian stocks dipped 0.2%, Hong Kong's Hang Seng edged down 0.4% while Japanese Nikkei soared 0.7% on a weaker yen.