Dow Jones, Hang Seng, ASX 200 Outlook: Rising Yields May Weigh on Prices
DOW JONES, HANG SENG, ASX 200, ASIA-PACIFIC MARKET OUTLOOK:
Asia-Pacific markets may trade lower as US equity futures retreated from record highs
Rising Treasury yields and a stronger USD may exert downward pressure on equities, commodities
UK and Canada core inflation, US retail sales figures are in focus today
Yields, US Dollar, Gold, Inflation, Asia-Pacific Stocks Outlook:
US equity futures edged lower on Wednesday morning after major stock benchmarks closed near record highs overnight. Investors are probably trying to strike a balance between reflation hopes and seemingly overstretched valuations, allowing recent rallies to take a brief pause. The S&P 500 index is trading near 32.3 times price-to-earnings, far above its five-year average of 21.2. Rich multiples may render the index vulnerable to profit-taking should rising yields and a stronger US Dollar trigger a technical pullback.