A pedestrian walks past an electronic quotation board displaying stock prices on the Tokyo Stock Exchange in Tokyo on June 16, 2020.
Kazuhiro Nogi | AFP | Getty Images
The Kospi in South Korea lost 1.34% and the Kosdaq fell 1.67%. South Korean won broke above 1,390 against the greenback and last traded at 1,391.98 against the dollar, around the lowest levels since March 2009.
MSCI’s broadest index of Asia-Pacific stocks outside Japan fell 2.28%.
The 2-year US Treasury yield also hit 3.79%, the highest level since 2007. The Dow Jones Industrial Average lost 1,276.37 points, or 3.94%, to close at 31,104.97. The S&P 500 fell 4.32% to 3,932.69, and the Nasdaq Composite lost 5.16% to end the session at 11,633.57.
“Perhaps most disconcerting about all of this is that the strength of underlying inflation is largely driven by service sector categories,” said Ray Attrill, chief strategy officer. National Australia Bank’s currency exchange, in a note, adding that the sector is primarily wage inflation. -led.
— CNBC’s Jeff Cox, Jesse Pound and Carmen Reinicke contributed to this report.