In Asian Equity Markets stocks hit a two-year low on Friday, while the dollar was set for its third week of gains as a fresh slew of rate hikes around the world deepened concerns about the outlook for global economic growth. MSCI’s index of Asia-Pacific shares outside Japan fell 0.5 percent, dragged down by concerns about China’s property market where homeowner threats to cease mortgage payments have spooked markets. China’s main share index was flat, while a Hong Kong-listed index of mainland property stocks fell more than 2 percent. Japan’s Nikkei edged 0.6 percent higher.

In Currency Markets the dollar hovered below a near two-decade high in Asian trading on Friday, having slipped overnight after two Federal Reserve policymakers said they favored a smaller rate rise than the 100 basis-points that investors were betting on. The dollar index edged 0.07 percent higher to 108.65. The euro was flat at $1.0019, after bouncing back from below parity on Thursday for a second day. Meanwhile, sterling edged 0.12 percent higher to $1.1840. The risk-sensitive Australian dollar added 0.1 percent to $0.6755.

In US Equity Markets the S&P 500 pared early losses to close modestly lower on Thursday after investors digested disappointing quarterly results from two large U.S. banks and hotter-than-expected inflation data. The Dow fell 0.46 percent, to 30,630.17, the S&P 500 lost 0.30 percent, at 3,790.38 and the Nasdaq Composite added 0.03 percent, at 11,251.19. Shares of JPMorgan Chase and Morgan Stanley fell 3.5 percent and 0.4 percent, respectively, while the S&P Banks index shed 2.4 percent. Conagra Brands lost 7.2 percent after issuing an annual earnings forecast that came in below estimates.

In Commodities Markets oil fell on Thursday, but pared nearly all losses after falling more than $4 earlier in the session as investors focused on the prospect of a large U.S. rate hike later this month that could stem inflation but at the same time hit oil demand. Brent crude futures for September settled down 0.5 percent to $99.10 a barrel. U.S. WTI crude for August delivery settled down 0.5 percent a barrel. Spot gold fell 1.5 percent to $1,710.02 per ounce. Spot silver fell 4.2 percent to $18.38 per ounce, platinum was down 1.5 percent at $842.37, while palladium fell nearly 3 percent to $1,915.63.

In European Equity Markets stocks fell on Thursday, hurt by rising bets of more aggressive rate hikes by the Federal Reserve after a sharp spike in U.S. inflation, while Italy’s main index tumbled 1 percent as the country’s government faces collapse. The pan-European STOXX 600 index lost 0.3 percent. Italy’s MIB index decreased after the 5-Star Movement said it will not take part in a parliamentary confidence vote later in the day, in a move that looked likely to trigger the collapse of Prime Minister Mario Draghi’s government.

In Bond Markets a closely-watched part of the U.S. Treasury yield curve on Thursday narrowed its inversion from a level that was more than two-decades deep, after Federal Reserve officials said they support 75 basis points of tightening later this month instead of the 100 bps the market priced in earlier in the session. In afternoon trading, yields on 10-year benchmark U.S. debt rose 4.2 bps to 2.948 percent, while yields on two-year debt, which are sensitive to rate expectations, was little changed at 3.136 percent.