Asian markets dropped on Monday as investors digested the rising risk of more rate hikes in the United States that pushed bond yields and the dollar sharply higher.
The Nikkei 225 in Japan slipped 2.66% to 27,878.96 while Hong Kong’s Hang Seng index was 0.76% lower.
Powell spoke last week at an annual economic symposium in Jackson Hole, Wyoming.
He said the Fed will likely need to keep interest rates high enough to slow the economy “for some time” in order to beat back the high inflation sweeping the country. The Fed has already hiked its key overnight interest rate four times this year in hopes of slowing the worst inflation in decades.
Elsewhere
South Korea’s Kospi fell 2.18% to 2,426.89 and the Kosdaq index dropped 2.81% to 779.89.
In Australia, the S&P/ASX 200 fell 1.95% to end the session at 6,965.50.
Mainland China’s Shanghai Composite rose 0.14% to 3,240.73, and the Shenzhen Component lost 0.34% to 12,018.16.
