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May 11, 2021, 12:04 a.m. EDT

Asian markets retreat after tech selloff on Wall Street

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By Associated Press

BANGKOK — Shares dropped Tuesday in Asia after selling of several Big Tech companies pulled U.S. benchmarks lower.

Despite reassurances from the Federal Reserve and a much weaker than expected U.S. jobs reading last week, investors have refocused on the potential for surging prices to pressure central banks into tapering off on their massive stimulus and ultra-low interest rates, analysts said.

“Investors seem to look past the jobs report and continue to place their focus on the inflation narrative with rising commodities prices and chip shortages in play,” Jun Rong Yeap of IG said in a commentary.

Markets are watching for U.S. and Chinese consumer and producer prices due out this week, he said.

On top of that, a number of Asian countries are seeing rising coronavirus infections and deaths that are straining health systems and setting back progress toward vanquishing the pandemic.

Tokyo’s Nikkei 225 /zigman2/quotes/210597971/delayed JP:NIK -0.03% slipped 2.8% while the Hang Seng /zigman2/quotes/210598030/delayed HK:HSI +1.79% in Hong Kong lost 2.1%. The Shanghai Composite index /zigman2/quotes/210598127/delayed CN:SHCOMP +0.25% shed 0.3%. In Seoul, the Kospi /zigman2/quotes/210598069/delayed KR:180721 +0.38% dropped 1.3%.

Australia’s S&P/ASX 200 /zigman2/quotes/210598100/delayed AU:XJO -0.60% lost 1.2% to 7,094.30. The  government  is due Tuesday to release a big-spending economic plan for the next fiscal year designed to create jobs and repair pandemic damage and with an eye toward winning votes at looming general elections.

Shares fell in Singapore /zigman2/quotes/210597985/delayed SG:STI +0.30% , Taiwan /zigman2/quotes/210597977/delayed TW:Y9999 +1.53% and Indonesia /zigman2/quotes/210597981/delayed ID:JAKIDX -0.88% .

On Monday, the S&P 500 /zigman2/quotes/210599714/realtime SPX +0.09% fell 1% to 4,188.43. The Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA -0.06% dropped 0.1% to 34,742.82. The blue chip index, which hit an all-time high on Friday for the third straight day, traded higher for much of Monday, but dipped into the red in the last half-hour of trading.

Small company and technology stocks had a rough day. The Nasdaq /zigman2/quotes/210598365/realtime COMP +0.26% lost 2.5% to 13,401.86, while the Russell 2000 index fell 2.6% to 2,212.70.

Big Tech companies, including Apple /zigman2/quotes/202934861/composite AAPL -0.13% , Facebook /zigman2/quotes/205064656/composite FB +0.68% , Amazon /zigman2/quotes/210331248/composite AMZN -0.31% and Google’s parent company, Alphabet /zigman2/quotes/202490156/composite GOOGL +0.16% , accounted for most of the S&P 500’s decline. Communication stocks and companies that rely on consumer spending also helped pull the market lower, outweighing gains in household goods makers, utilities and other sectors.

The wave of selling handed the Nasdaq its worst day in more than seven weeks, as the index is heavily weighted with big technology stocks. The tech sector, which led the market’s stunning comeback in 2020, now lags the other 10 sectors in the S&P 500 so far this year with a gain of 3.9%.

Inflation has been a concern for investors since bond yields spiked earlier this year, but yields have mostly stabilized since then. The yield on the 10-year Treasury eased to 1.59% from 1.61% late Monday.

In other trading, U.S. benchmark crude oil lost 52 cents to $64.40 per barrel in electronic trading on the New York Mercantile Exchange. It gained 2 cents to $64.92 per barrel on Monday. Brent crude , the international standard for pricing, gave up 57 cents to $67.75 per barrel.

The U.S. dollar /zigman2/quotes/210561789/realtime/sampled USDJPY +0.0434% rose to 108.88 Japanese yen from 108.83 yen late Monday.

/zigman2/quotes/210597971/delayed
JP : Nikkei
28,874.89
-9.24 -0.03%
Volume: 0.00
June 23, 2021 3:15p
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/zigman2/quotes/210598030/delayed
HK : Hong Kong Exchange
28,817.07
+507.31 +1.79%
Volume: 2.29M
June 23, 2021 4:08p
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/zigman2/quotes/210598127/delayed
CN : China: Shanghai
3,566.22
+8.81 +0.25%
Volume: 31.07B
June 23, 2021 3:01p
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/zigman2/quotes/210598069/delayed
KR : Korea Exchange
3,276.19
+12.31 +0.38%
Volume: 1.07M
June 23, 2021 3:30p
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/zigman2/quotes/210598100/delayed
AU : S&P ASX
7,298.50
-43.70 -0.60%
Volume: 554,031
June 23, 2021 5:26p
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/zigman2/quotes/210597985/delayed
SG : Singapore: SGX
3,118.62
+9.42 +0.30%
Volume: 0.00
June 23, 2021 5:20p
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/zigman2/quotes/210597977/delayed
TW : Taiwan Stock Exchange
17,336.71
+261.16 +1.53%
Volume: 0.00
June 23, 2021 1:33p
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/zigman2/quotes/210597981/delayed
ID : Indonesia Stock Exchange
6,034.54
-53.30 -0.88%
Volume: 0.00
June 23, 2021 3:00p
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/zigman2/quotes/210599714/realtime
US : S&P US
4,250.14
+3.70 +0.09%
Volume: 419.95M
June 23, 2021 10:44a
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/zigman2/quotes/210598065/realtime
US : Dow Jones Global
33,926.80
-18.78 -0.06%
Volume: 67.18M
June 23, 2021 10:44a
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/zigman2/quotes/210598365/realtime
US : Nasdaq
14,289.93
+36.66 +0.26%
Volume: 1.39M
June 23, 2021 10:44a
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/zigman2/quotes/202934861/composite
US : U.S.: Nasdaq
$ 133.81
-0.18 -0.13%
Volume: 18.81M
June 23, 2021 10:44a
P/E Ratio
30.06
Dividend Yield
0.66%
Market Cap
$2235.81 billion
Rev. per Employee
$1.86M
loading...
/zigman2/quotes/205064656/composite
US : U.S.: Nasdaq
$ 341.34
+2.31 +0.68%
Volume: 4.39M
June 23, 2021 10:44a
P/E Ratio
29.31
Dividend Yield
N/A
Market Cap
$961.31 billion
Rev. per Employee
$1.47M
loading...
/zigman2/quotes/210331248/composite
US : U.S.: Nasdaq
$ 3,494.51
-10.93 -0.31%
Volume: 920,293
June 23, 2021 10:44a
P/E Ratio
66.61
Dividend Yield
N/A
Market Cap
$1767.88 billion
Rev. per Employee
$297,430
loading...
/zigman2/quotes/202490156/composite
US : U.S.: Nasdaq
$ 2,450.53
+3.92 +0.16%
Volume: 232,176
June 23, 2021 10:44a
P/E Ratio
32.63
Dividend Yield
N/A
Market Cap
$1669.84 billion
Rev. per Employee
$1.35M
loading...
/zigman2/quotes/210561789/realtime/sampled
US : Tullett Prebon
110.7210
+0.0480 +0.0434%
Volume: 0.0000
June 23, 2021 10:44a
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