Asia stocks set to trade mixed as Treasury yields bounce higher
Stocks in Asia were set to trade mixed on Monday as U.S. Treasury yields bounced higher after plunging last week which sent markets into a panic.
Futures pointed to a higher open for Japanese shares, with the Nikkei futures in contract in Chicago at 20,655 and its counterpart in Osaka at 20,570. The Nikkei 225 last closed at 20,418.81.
Stocks in Australia, however, were set to slip at the open. The SPI futures contract was at 6,395.0, as compared to the S&P/ASX 200's last close at 6,405.50.
The moves come following a wild trading week that saw turbulence in the markets as investors reacted to developments in U.S. Treasurys.
The bond market flashed a signal Wednesday that is normally interpreted as a sign a recession is on the horizon, with the yield on the 10-year Treasury note briefly broke below the rate for the 2-year. The U.S. 30-year Treasury yield dropped to a record low last Thursday, while the yield on the benchmark 10-year notes dipped to a three-year low, as investors sought out safe-haven assets.
The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 98.183 after rising from levels below 97.5 last week.
The Japanese yen traded at 106.44 against the dollar following volatile movements in the previous week that saw it touching highs below 105.5. The Australian dollar changed hands at $0.6785 after seeing lows below $0.675 last week.
Here's a look at the data due today:
Hong Kong: Unemployment data at 4:30 p.m. HK/SIN
By: via @AlliesFin Serve T.ME/ALLiESFiN
