In Asian Equity Markets Japanese stocks fell on Thursday as investors sold off heavyweight technology stocks following Wall Street’s weak finish overnight after the U.S. Federal Reserve signalled rate hikes earlier than expected. The Nikkei index fell 1.3 percent to 28,911.01, while the broader Topix lost 0.77 percent to 1,960.63. Tech start-up investor SoftBank Group was down 2.01 percent, while chip-related stocks Advantest fell 3.4 percent and Tokyo Electron lost 0.78 percent. Murata Manufacturing fell 2.77 percent and Sony Group fell 2.15 percent.

In Currency Markets the dollar rose to its highest level in almost two months versus major peers on Thursday after the Fed brought forward its projections for the first post-pandemic interest rate hikes into 2023, citing an improved health situation and falling a long-standing reference that the crisis was weighing on the economy. The dollar climbed to an almost two-month high of $1.1984 per euro on Thursday. It strengthened to as high as 110.825 yen, a level not seen since April 1, adding to a 0.6 percent rally overnight. Sterling fell to the lowest since May 7 at $1.39745.

In US Equity Markets stocks closed down on Wednesday, as U.S. Federal Reserve officials unnerved investors with indications that the central bank could begin rising interest rates in 2023, a year earlier than expected. The Dow fell 0.77 percent, to 34,033.67, the S&P 500 lost 0.54 percent, to 4,223.7 and the Nasdaq Composite fell 0.24 percent, to 14,039.68. Only two of the S&P’s 11 main sector indexes ended in positive territory: consumer discretionary and retail. The decliners were led by utilities, materials, and consumer staples.

In Commodities Markets oil prices posted gains for the fifth straight day on an anticipated surge in demand alongside falling crude inventories. Brent crude gained 0.5 percent, to hit $74.39 a barrel, reaching its highest since April 2019, and running its gains to five straight days. U.S. crude rose 3 cents to $72.15, after reaching $72.99, highest since October 2018. Spot gold fell 1.1 percent to $1,839.06 per ounce. Silver rose 0.3 percent to $27.71 per ounce, while palladium rose 1.6 percent to $2,805.86 and platinum fell 1.6 percent, to $1,134.50.

In European Equity Markets stocks closed at a record high on Wednesday, despite caution ahead of a U.S. Federal Reserve meeting that could see it outline plans to start stimulus unwinding. The pan-European STOXX 600 was up 0.2 percent to a record high of 459.86 points. Travel and leisure, utilities and chemical stocks were the best performers, as investors bet on a jump in consumer demand and industrial production. London’s FTSE 100 rose 0.2 percent even as data showed British inflation unexpectedly rose above the Bank of England’s 2.0 percent target in May.

In Bond Markets U.S. Treasury yields zoomed higher on Wednesday after Federal Reserve policymakers moved up their projections for commencing interest rates hikes to 2023 from 2024 as the economy recovers from the coronavirus pandemic. The benchmark 10-year yield rose to its highest level since June 4 at 1.594 percent. It was last up 7.5 basis points at 1.5737 percent. The five-year yield had its biggest one-day move since February, climbing to its highest level since April 6 at 0.913 percent. The two-year Treasury yield it was last 3.6 basis points higher at 0.2032 percent.