Markets across Asia dropped sharply on Thursday following further indications of the Federal Reserve’s hawkish turn. Many are concerned about the shift in American monetary policy’s potential implications for stocks in Asia.
Monday saw dramatic falls in key New York indices, followed by traders pushing share values back up by the closing bell. Uncertainty regarding Russia’s intentions toward Ukraine and the Fed’s hawkish turn could be influencing this volatility going forward.
Federal Reserve Chairman Jerome Powell has released his opening statements ahead of his Tuesday confirmation hearing. His remarks seem to mark an approaching shift in the central bank’s monetary policy for 2022.