Asia markets brace for selling after tech rout hits Wall Street

• The BSE Sensex and Nifty50 are expected to open lower today, as indicated by GIFT Nifty trends. • This negative outlook is driven by escalating geopolitical tensions involving the US, Israel, and Iran, which have also caused crude oil prices to rise.

• Indian stock markets crashed on Monday, with the Sensex dropping 800 points and the Nifty falling below 23,150. • The downturn extended to broader markets, as the Nifty MidCap and Nifty SmallCap indices both declined by approximately 1.5%.

• Markets are anticipating a new Consumer Price Index (CPI) reading this week to gauge inflation trends. • Tech giants are making moves, with Apple expected to release a new iteration of Siri and Adobe preparing reports.

• Indian benchmark indices closed marginally lower on Friday following a volatile trading session driven by global developments and continued selling by foreign institutional investors (FIIs). • The Reserve Bank of India (RBI) opted to keep the repo rate unchanged at 5.25% while maintaining a neutral monetary policy stance.

• Indian benchmark indices closed marginally lower on Friday following the Reserve Bank of India's (RBI) decision to maintain current interest rates. • Market sentiment was dampened by the RBI's updated economic outlook, which included raised inflation projections and lowered growth forecasts.

• Fitch Ratings reaffirmed Hungary's BBB sovereign credit rating but maintained a negative outlook due to weak economic growth and deteriorating public finances. • The agency cited fiscal uncertainty and a larger-than-expected decline in fiscal indicators leading up to the April parliamentary elections as primary concerns.

• The House of Commons Library reported that UK government borrowing for the 2025/26 financial year totaled £129 billion. • This figure represents a decrease of £23 billion compared to the borrowing levels recorded in the 2024/25 financial year.

• U.S. employers added 172,000 jobs in May, while the unemployment rate remained steady at 4.3 percent. • The data, which is seasonally adjusted, suggests a robust labor market that may complicate efforts to lower interest rates.

• The Nasdaq plummeted 4%, marking its worst single-day decline in over a year, while the S&P 500 ended a nine-week winning streak. • In contrast to the market volatility, the U.S. economy showed resilience by adding 172,000 jobs in May, exceeding initial expectations.

• China's economic recovery and corporate earnings have been delayed due to uncertainties stemming from the Middle East crisis. • Despite these headwinds, Chinese equities have shown resilience, though year-to-date performance lags behind regional peers like South Korea and Taiwan.

• China is implementing restrictive economic policies and "fortress" measures to prioritize national security amid rising global tensions. • These shifts signal the end of the "Chimerica" era of seamless capital and technology flow between China and the United States.