Gulf · Doha New
Last week, the average yield on a gauge of global bonds climbed above 4% for the first time since 2007, and investors appeared to fear that higher financing costs would eventually drag on the economy and on company earnings. By CNBCTV18.com September 28, 2026, 6:46:01 AM IST (Published) 3 Min Read Asian stocks opened mixed on Monday September 28, as investors braced for more interest rate hikes and watched energy costs stay high. MSCI's gauge of Asian equities started the session lower.
South Korea's benchmark slid as trading resumed after a holiday, while Japanese shares edged higher. Kospi lost 0.46%. Japan's Topix rose 0.48% while the Nikkei 225 rose 0.89%.
Hang Seng futures barely moved. In India, the GIFT Nifty, which acts as an indicator on how the stock market would open for the day hinted at a muted start in the red. The country's market had previously crashed in last week's trading before recovering slightly as global factors and rising oil prices weighed in.
The Indian markets have had seven straight weeks of decline, one of its worst performance since the covid pandemic. Also Read: Dow futures fall close to 200 points, oil prices rise as Trump rejects Iran proposal Rising borrowing costs seemed to drive caution in the markets. Last week, the average yield on a gauge of global bonds climbed above 4% for the first time since 2007, and investors appeared to fear that higher financing costs would eventually drag on the economy and on company earnings.
US Federal Reserve officials have added to those worries with several of them saying that resilient growth and a strong labour market may justify more tightening. Cleveland Fed President Beth Hammack said those factors, together with concerns about government debt, are pushing long-term Treasury yields higher. Traders responded by fully pricing in at least one more 25 basis-point hike before the end of the year according to a Bloomberg report.
US Treasury Secretary Scott Bessent meanwhile struck a gentler tone. He urged policymakers to keep an "open mind" on rates, arguing that productivity gains from artificial intelligence and deregulation could help contain inflation. The US Fed's preferred inflation gauge and the US jobs reports would further shape expectations for another rate rise this year, following the central bank's first hike since 2023 earlier this month.
Japan also drew attention in Asian markets. The Bank of Japan could raise its benchmark rate for a second straight month at its October meeting, earlier than many economists expect according to a Bloomberg report. September marked the first time the BOJ, the Fed and the European Central Bank all lifted rates in the same month.
The Japanese yen weakened after the BOJ's September decision because two board members, Toichiro Asada and Ayano Sato, voted against the hike. Also Read: Nifty Outlook for September 28: 23,000 key support as truncated week begins The country's Prime Minister Sanae Takaichi, who backs monetary easing, chose both of them earlier this year. The yen weakened 0.3% to 157.70 per dollar, and the offshore yuan held steady at 6.7252 per dollar.
Oil remained a key driver for markets as elevated costs fed inflation pressures and strengthened expectations of further rate rises. Brent advanced to around $106 a barrel settling at around $105.9 per barrel, while West Texas Intermediate climbed above $93. Tehran stuck to its proposal to reopen the Strait of Hormuz within seven days and said it would not soften its conditions.
US President Donald Trump rejected Iran's latest offer but expected negotiations to resume this week, Axios reported. With Bloomberg Inputs Home Market News Asian stocks open mixed as rate-hike bets build; Kospi slips, Japan indices rise
Source: cnbctv18.com
