Asian stocks rebound as global yields retreat on U.S. buybacks
Asian equities rebound as global bond yields pull back from multi-year highs after the U.S. expands Treasury buybacks across 10-, 20- and 30-year debt, easing sovereign yields across major Asian economies.
Asian equity markets rebounded on Thursday as global bond yields pulled back from multi-year highs after the US government moved to rein in long-term borrowing costs by expanding its buyback program.
The US Treasury Department announced it would more than double repurchases of 10-, 20- and 30-year debt over the coming months after the US 30-year Treasury yield surged to its highest level since 2007 earlier this week.
Sovereign yields across major Asian economies also eased, with Japan’s 10-year yield retreating from a 30-year high.
South Korea’s KOSPI surged around 6% as chipmakers rebounded sharply, while Japan’s Nikkei gained 1%.
Shares in Australia, China and Hong Kong also advanced.