Asia Pacific Markets Fall after US Tech Drops and Yield Rises Again

All of Asia Pacific major indices mostly fell on Thursday morning (26 Oct, 9:30 AM, GMT+7, Bangkok time). This might be a continuous trend from the falling of US tech stock last night, as many tech companies reported disappointing financials during their earnings season. GOOG led the market by crashing over 9%, while MSFT was the only one who stood at 3% gain.

Meanwhile, the weekly oil inventories reported at a positive number but the further US sanction on Iran from the Israel-Gaza issue, raised the oil price back up again. Although the US housing data came out bearish, the MBA 30-year mortgage rate rose from 7.7% to 7.9%. Meanwhile, the US treasury yield rose over 5% again except the 10-year that nearly broke the 5% mark. In addition, the nearest trade partner of US, Canada held its interest rate at 5.00%.


South Korea reported its Q3 GDP at 1.4% YoY, better than the 1.1% expectation, but did not help push up its stock market, as the KOSPI led the market in most decline by 1.86% drop to 2,319.3, together with Japan NIKKEI swung down by 1.93% to 30,667.79. Taiwan’s TWII and Australia’s ASX 200 also followed with 1.19% and 0.94% drops to 16,163.88 and 6,789.8, respectively.

Meanwhile, last night tech fall on US markets didn’t affect Dow Jones (DJIA) much, as it only edged down by 0.32% to 33,035.93, compared to NASDAQ that fell by 2.43% to 12,821.22. The S&P 500 also dropped by 1.43% to 4,186.77, while VIX spiked up by 6.43% over 20.19 again.


Yesterday, crude oil futures rose by another 2% as Brent futures jumped by 2.34% to $90.13 per barrel, while the West Texas Intermediate (WTI) also jumped by 1.97% to $85.39 a barrel.

As for this morning, Brent dropped slightly by 0.21% to $89.94 a barrel, as well as WTI that edged down by 0.18% to $85.24 per barrel. Furthermore, the gold futures rose by 0.05%  to $1,995.8 per Troy ounce, as it seems like the on-going global uncertainty may push gold higher than $2,000 once again.