Market Overview

Most Asian equity markets slipped on Thursday as a sharp rise in global bond yields weighed on risk assets. The U.S. 10‑year Treasury yield climbed above 5%, hovering around 5.11%, its highest level since 2007, while the 2‑year yield rose toward 4.9% and the 30‑year yield moved above 5.4%. U.S. stock index futures also edged lower in Asian trading after Wall Street fell overnight amid the same yield surge and higher oil prices.

Japan

Japan’s Nikkei 225 posted a 1.5% gain and the broader TOPIX added 0.2% as markets reopened after a three‑day holiday. The rally was tempered by a sharp rise in both domestic and U.S. bond yields, with the 10‑year Japanese government bond yield reaching a 30‑year high (exact level not disclosed). Higher yields revived concerns that central banks may need to keep policy rates elevated to contain persistent inflation, especially as oil prices remain high.

China and Hong Kong

China’s Shanghai Composite fell nearly 1% and the Shanghai‑Shenzhen CSI 300 slipped 1.3%. Hong Kong’s Hang Seng index dropped 0.6%, and the Hang Seng TECH sub‑index fell 1%. Investor attention was centred on the scheduled summit in Washington between U.S. President Donald Trump and Chinese President Xi Jinping, where trade, artificial intelligence, technology and Taiwan were expected to be discussed. U.S. Treasury Secretary Scott Bessent said Washington and Beijing had agreed to extend their trade truce by two months.

Australia

Australia’s S&P/ASX 200 declined 0.7%. Employment data showed growth exceeding expectations, but the unemployment rate rose to a five‑year high as more people entered the labour force. The figures arrived ahead of the Reserve Bank of Australia’s policy decision scheduled for 29 September, with market participants maintaining firm expectations of a rate hike.

Other Regional Moves

Singapore’s Straits Times Index edged down 0.2%, while futures tied to India’s Nifty 50 fell marginally. South Korean markets were closed for a public holiday.

Commodity and Yield Indicators

The article listed several ticker‑level movements: Australian index (AXJO) –0.69%, Japan’s Nikkei (JP225) +1.42%, Hong Kong (HK50) –0.47%, crude oil (LCO) –0.75%, crude oil (CL) –0.73%, India’s NSEI –0.93%, U.S. 2‑year yield (US2YT) –0.04%, U.S. 10‑year yield (US10YT) –0.08%, U.S. 30‑year yield (US30YT) +0.13%, Japan 10‑year yield (JP10YT) +2.98%, Singapore STI –0.11%, Shanghai Composite (SSEC) –0.74%, TOPIX +0.04%, CSI300 –1.14%, Hang Seng TECH –1.11%.

Implications

The surge in bond yields increased the discount rate applied to future corporate earnings, putting pressure on technology and other growth‑oriented stocks across the region. Oil prices edged lower after a prior sharp gain, while ongoing U.S.–Iran tensions persisted despite diplomatic hopes.