In Asian Equity Markets stocks fell on Friday after the fastest U.S. inflation in four decades bolstered expectations for more aggressive rate hikes, and as Chinese equity markets fell over regulatory concerns of U.S.-listed mainland firms. MSCI’s broadest index of Asia-Pacific shares outside Japan had skidded 2.0 percent. The Hang Seng index fell 3.7 percent. Outside Hong Kong, the losses in Chinese shares were smaller, with the country’s blue-chip index down 2.6 percent. Elsewhere, Japan’s Nikkei lost 2.4 percent, while South Korean shares shed 1.1 percent and Australian shares fell 0.9 percent.

In Currency Markets the dollar hit a new five-year top on the yen on Friday after a strong U.S. inflation report, while the euro struggled to hold its own as a hawkish turn from the European Central Bank was offset by growth risks emanating from the Ukraine crisis. The greenback rose as high as 116.55 yen in early trade, its highest level since January 2017. The euro was last little changed at $1.1005. The Australian and New Zealand dollars lost a little ground on Friday, after their recent storming rally due to higher commodity prices. The Aussie was at $0.7336 while the kiwi was at $0.6851.

In US Equity Markets stocks resumed its slide on Thursday, ending in the red as inflation hit a four-decade high, cementing expectations that the U.S. Federal Reserve would hike key interest rates at the conclusion of next week’s monetary policy meeting to prevent the economy from overheating. The Dow fell 0.34 percent, to 33,174.07, the S&P 500 lost 0.43 percent, to 4,259.52 and the Nasdaq Composite fell 0.95 percent, to 13,129.96. Goldman Sachs Group Inc became the first major U.S. investment bank to announce it was closing operations in Russia. Its shares fell 1.1 percent.

In Commodities Markets oil prices settled about 2 percent lower on Thursday after a volatile session, a day after its biggest daily dive in two years, as Russia pledged to fulfil contractual obligations and some traders said supply disruption concerns were overdone. Brent futures fell 1.6 percent, to settle at $109.33 a barrel. U.S. West Texas Intermediate (WTI) crude fell 2.5 percent, to settle at $106.02 a barrel. Spot gold rose 0.2 percent to $1,996.30 per ounce. Palladium rose 0.4 percent to $2,948.73 per ounce. Spot silver rose 0.7 percent to $25.90 per ounce, while platinum gained 0.1 percent at $1,077.37.

In European Equity Markets stocks fell on Thursday ahead of Russia-Ukraine talks and the European Central Bank’s policy decision, which could highlight the impact of the conflict on the euro zone economy. The pan-European STOXX 600 index fell 0.7 percent following a rally in the previous session that saw the benchmark notch its best day since March 2020. German fashion house Hugo Boss fell 4.0 percent after announcing a temporary halt to its business in Russia but forecast an upbeat 2022. French media group Vivendi inched up 0.8 percent after it reported a doubling in core operating earnings in 2021.

In Bond Markets the benchmark U.S. 10-year Treasury yield rose on Thursday after U.S. inflation data confirmed rapidly rising prices, cementing expectations of a Federal Reserve interest rate hike next week, while the European Central Bank took a hawkish turn. The yield on 10-year Treasury notes was up 4.9 basis points to 1.997 percent after hitting 2.013 percent, its highest level since Feb. 25. The yield on the 30-year U.S. Treasury bond was up 8.1 basis points to 2.383 percent after touching 2.396 percent, its highest level since May 13. The two-year U.S. Treasury yield was up 4.5 basis points at 1.723 percent.