Asian markets slide on oil surge, Wall Street selloff

Mettis Global reported that Asian stocks moved lower on Thursday, with the sell-off following a third straight fall on Wall Street. The slide came as a steep climb in oil prices fuelled worries about inflation and economic strain linked to Middle East tensions. Australia's S&P/ASX 200 led the regional decline with a 1.36% fall, while miners Rio Tinto and BHP Group dropped 2.93% and 2.52%. Japan's Nikkei 225 slipped 0.62%, Hong Kong's Hang Seng Index lost 1.47%, and South Korea's Kospi fell 0.24%.

Brent futures advanced 3.4% on Wednesday to $101.21 a barrel, a close higher than any since May 22, while West Texas Intermediate ended 3.3% higher at $96.05. The rally followed growing friction between the US and Iran, which has sparked fears of possible interruptions to global energy supply. Higher US Treasury yields added to the pressure, with the 10-year yield climbing to 4.857%, a peak not seen since November 2023.

On Wall Street, the Dow Jones Industrial Average slid more than 400 points, equal to 0.8%, while the S&P 500 retreated 0.5% and the Nasdaq Composite lost 0.6%. Investors are watching US inflation figures this week, with August producer prices due Thursday and consumer prices scheduled for Friday. Forecasts point to monthly rises of 0.3% in producer prices and 0.4% in consumer prices.