Asian market: Bad loans of two American banks have increased concerns about the debt market. Due to which the appetite for risk on Wall Street reduced and a decline was seen in the Asian stock market on Friday. There are signs of further weakness in US stock futures. Shares of Japan, Australia and South Korea fell as soon as the markets opened. These were affected by the slowdown in New York trading. Equity futures on US stock markets also fell, following a 0.6% decline in the S&P 500 index. Financial shares had the biggest impact with a fall of 2.8 percent. While the Nasdaq 100 closed down 0.4% yesterday.
Gold and silver reached their all-time high due to strong demand due to concerns over credit quality in the US economy and rising tensions between the US and China. Treasury yields continued to fall, with the two-year yield falling to its lowest level since 2022 and the 10-year yield falling below 4%. The dollar index also declined and looks set for its worst week since the end of July.
The fallout from the collapse of subprime auto lender Tricolor Holdings appeared to extend beyond Wall Street. Due to this, there was a huge fall in the shares of American regional lenders. Zions Bancorp shares fell 13% after a $50 million charge-off related to California Bank & Trust. Similarly, shares of Western Alliance Bancorp fell by 11%.
Due to these news, there is an all-round decline in the Central Asian markets today. Gifty Nifty is seen at the level of 25,600 with a decline of 43.00 points or 0.17 percent. At the same time, Nikkei is trading at the level of 47,783.00 with a weakness of 494.74 points or 1.02 percent. Whereas Strait Times is seen at the level of 4,336.47 with a decline of 18.88 points or 0.43 percent.
Hang Seng is seen at the level of 25,514 with a weakness of 365.51 points or 1.41 percent. While the Taiwan market is trading with a decline of 176.00 points or 0.64 percent at the level of 27,425.83 and the Shanghai Composite is trading with a decline of 34.91 points or 0.89 percent at the level of 3,881.95.