In Asian Equity Markets indices declined on Wednesday following a congressional testimony from the Federal Reserve’s new chief. The Nikkei 225 declined 226.7 points, or 1.01 percent, paring some of its recent gains. Manufacturers, technology, automakers and financials traded in negative territory. Among large caps, Honda Motor fell 1.71 percent, SoftBank Group dropped 1.93 percent and Fast Retailing lost 1.99 percent. South Korea’s Kospi edged down by 0.86 percent as gains in tech heavyweight Samsung Electronics were offset by losses in automakers and manufacturing names. Samsung Electronics rose 0.42 percent amid a mixed tech sector. Hong Kong’s Hang Seng Index fell 1.67 percent, driven lower by declines seen across sectors.

In Currency Markets the US dollar stood near a three-week high against a basket of currencies on Wednesday, after Federal Reserve Chairman Jerome Powell’s upbeat views on the economy bolstered bets on further Fed interest rate hikes this year. Testifying before the U.S. House of Representatives’ Financial Services Committee, Powell acknowledged the economy had strengthened recently, a remark that prompted investors to increase bets on four rate increases in 2018. The dollar index, which measures the greenback against a basket of six major currencies, held steady 90.372, after hitting a high near 90.50 on Tuesday, its strongest level in almost three weeks. The euro held steady at $1.2230, after briefly slipping to $1.2221 its lowest since Feb. 9.

In Commodities Markets oil prices fell on Wednesday as weak Chinese and Japanese industrial data triggered concerns of an economic slowdown that could lower oil demand, and as an industry data report showed an increase in U.S. crude stockpiles amid soaring output. U.S. West Texas Intermediate crude was down 0.5 percent, at $62.70 a barrel, after falling 90 cents in the previous session. Brent crude was down 0.6 percent, at $66.23 a barrel. On Tuesday, Brent fell 87 cents to $66.63. Data on Tuesday from the American Petroleum Institute showed that crude inventories rose by 933,000 barrels in the week to Feb. 23, to 421.2 million barrels. Official data from the U.S. Energy Information Administration (EIA) is due out later on Wednesday.

In US Equity Markets stocks fell after comments from Federal Reserve Chairman Jerome Powell revived fears about more interest-rate increases than expected this year. The S&P 500 lost 1.27 percent, to 2,744.28 and the Nasdaq Composite fell 1.23 percent, to 7,330.35. Comcast fell 7.4 percent after the U.S. cable giant offered to buy Sky for $31 billion in an unsolicited approach, taking on Rupert Murdoch’s Fox and Bob Iger’s Walt Disney in the battle for Europe’s biggest pay-TV group. The stock was the biggest drag on the S&P 500. Disney fell 4.5 percent and Twenty-First Century Fox declined 3 percent following the news. Macy’s rose 3.5 percent after reporting higher-than-expected same-store sales growth for the fourth quarter. The biggest U.S. department store chain said sales at established stores could mark their first annual gain in four years.

In Bond Markets the margin between U.S. shorter- and longer-dated yields narrowed on Tuesday after Federal Reserve Chairman Jerome Powell said data since December pointed to a strengthening economy and his confidence had increased that inflation will rise. The benchmark 10-year Treasury yield was 2.901 percent, up 4 basis points from late on Monday, while the two-year yield was 2.266 percent, over 3 basis points on the day. Japanese government bond prices edged lower on Wednesday as the market was weighed down following a retreat by U.S. Treasuries. The two-year yield rose 0.5 basis point to minus 0.160 percent and the benchmark 10-year yield climbed 0.5 basis point to 0.045 percent. JGB losses were limited as Tokyo stocks fell, with the Nikkei declining more than 1 percent.