Asian Markets Dropped Sharply amid Tense Ukraine Situation and Tightening of Monetary Policy Globally

Asian equities extended loss on Tuesday after tumultuous Wall Street session with traders eyeing tense Ukraine situation and tighter monetary policy globally.

NATO on Monday said it was putting forces on standby and reinforcing more ships and fighter jets in eastern Europe. Russia on the other hand called this Western “hysteria” in response to its build-up of troops on the Ukraine border.

KOSPI, TOPIX, CSI300 and HSI made sharp declines, down by 2.31%, 2.03%, 0.69% and 1.60% respectively.

MSCI’s broadest index of Asia-Pacific shares outside shed 1.2%, falling to its lowest in a month, and Japan’s Nikkei  skidded 2% to its lowest level since August.

Singapore’s central bank also tightened monetary policy on Tuesday in an unexpected move to combat inflation.