Asian equity markets extended losses on Tuesday as US 10-year Treasury yields climbed to their highest level since 2007, compounding a sell-off that began the previous session on concerns over the outlook for Artificial Intelligence (AI) investment.
Investors were still absorbing sharp declines in the technology sector recorded on Monday when US 10-year Treasury yields broke through the symbolic 5% threshold. On Tuesday, the benchmark yield touched 5.02%, adding fresh pressure to global risk appetite.
“There are many underlying factors that make a broad bond sell-off the path of least resistance for now,” said Zach Griffiths, head of investment-grade and macro strategy at CreditSights. The analyst indicated that the 10-year Treasury yield could climb further toward 5.5%.
Beyond rising sovereign debt yields, oil continued to trade around $107 per barrel, sustaining pressure on energy prices and reinforcing expectations that inflation will remain elevated for longer.
Asia-Pacific Markets
Against this backdrop, major markets across the Asia-Pacific region posted negative sessions. South Korea’s Kospi closed down 0.9%, while Japan’s Topix fell 0.5%, weighed down by a 2.7% decline in Sumitomo Mitsui Financial Group. The Nikkei 225 edged marginally lower, sliding 0.01%.
Taiwan’s TAIEX dropped 0.8%, with chipmaker MediaTek falling 2.9%, signalling that concerns surrounding AI demand have yet to fully dissipate. With trading still under way, Hong Kong’s Hang Seng was down 0.77% and the Shanghai Composite retreated 0.49%.
Fed in Focus
Investor attention is also turning to the upcoming Federal Reserve meeting, which is widely expected to deliver another increase in benchmark interest rates in the world’s largest economy.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/2026/09/15/mercados/mercados-mercados/pracas-asiaticas-em-queda-com-juros-da-divida-americana-em-maximos-de-2007/
