Asian markets fall as US inflation worries rise, yen weakens

Stock prices in Asia followed Wall Street lower on Thursday. This came after stubbornly high inflation in the United States caused investors to become less optimistic about the Federal Reserve cutting interest rates later this year. As a result, the U.S. dollar strengthened to a 34-year high against the Japanese yen, according to Reuters.

In Asia, the broader MSCI index of Asia-Pacific shares outside Japan fell slightly, but earlier losses were trimmed. Japan’s Nikkei index also dipped.

Chinese stocks managed to rise slightly despite data showing consumer prices grew at a slow pace in March compared to the previous year. Gains were seen in resource stocks, but Hong Kong’s Hang Seng index closed lower.