
-
Trump says US to emerge 'stronger' as markets tumble over tariffs
-
Wiegman says Belgium games can aid England's women's Euros title defence
-
Prosecutors demand jail term for Ancelotti for tax fraud
-
Syria accuses Israel of deadly destabilisation campaign
-
Skiing World Cup champion Brignone suffers broken leg
-
Iconic Paris hotel Lutetia taken over by Mandarin Oriental
-
Nepal capital chokes as wildfires rage
-
AI could impact 40 percent of jobs worldwide: UN
-
Liverpool's Slot happy to let Premier League title bid take its course
-
Tesla sales fall again in Germany amid Musk backlash
-
Italy's skiing champion Brignone air-lifted to hospital after crash
-
Defending champion I Am Maximus heads final field for Grand National
-
Rubio says US committed to NATO - but tells allies to spend more
-
India eyes opportunity despite Trump tariffs hit
-
UK show reveals tawdry tale of Shakespeare folio theft
-
Top Russian official in Washington for talks on improving ties
-
Sinner's former physio to blame for failed dope tests, says ex-physical trainer
-
Germany slams Trump tariffs, US tech titans in crosshairs
-
Hungary announces ICC withdrawal as Israel's Netanyahu visits
-
Trump's tariffs sting Asian giants, including US allies
-
India says 'examining the implications' of US tariffs
-
Evenepoel set to make injury return at Tour de Romandie
-
USA sole bidder for 2031 Women's World Cup, UK set to host in 2035 - Infantino
-
McLaren's Norris says it's 'our turn' for success
-
Lessons and liquids: buried alive in Myanmar's earthquake
-
Trump tariffs spark fears for Asian jobs, exporting sectors
-
Runners fly to North Korea for first post-Covid Pyongyang Marathon
-
Hamilton rubbishes claims he's lost faith in Ferrari
-
Nintendo Switch 2 sparks excitement despite high price
-
Sri Lanka's crackdown on dogs for India PM's visit sparks protest
-
S Korea police raise security levels ahead of impeachment verdict
-
Tsunoda vows to bring 'something different' after Red Bull promotion
-
Verstappen not happy with Tsunoda-Lawson Red Bull swap
-
Experts accuse 54 top Nicaragua officials of grave abuses
-
Remains of 30th victim of Los Angeles fires found
-
EU to target US online services after Trump tariffs: France
-
How Trump's 'liberation day' tariffs will impact China
-
Search for long-missing flight MH370 suspended: Malaysia minister
-
Europe hits out at Trump tariffs, keeps door open for talks
-
Lawson vows to prove he belongs in F1 after shock of Red Bull axing
-
Australia sweats through hottest 12 months on record: official data
-
Livestock theft is central to jihadist economy in west Africa
-
South African artist champions hyenas in 'eco-queer' quest
-
Danish PM in 'unity' Greenland visit amid US takeover threats
-
Taiwan says US tariffs 'highly unreasonable'
-
Lawson says ruthless Red Bull axing was 'tough to hear'
-
Trump escalates trade war with sweeping global tariffs
-
Japan says US tariffs 'extremely regrettable', may break WTO rules
-
South Koreans anxious, angry as court to rule on impeached president
-
Juve at in-form Roma with Champions League in the balance

Asian markets drop on Fed rate fears as US inflation rages
Asian markets sank Friday after a sell-off on Wall Street in response to a forecast-busting jump in US inflation that fanned expectations the Federal Reserve will embark on a more aggressive campaign of monetary tightening.
The 7.5 percent jump in prices last month was the fastest in 40 years and reinforced fears that the central bank is falling behind the curve in keeping it under control, which has fed a sense of uncertainty across trading floors.
US stocks immediately sank on the news but managed to claw their way back as the day progressed before being hit by Fed official James Bullard, who said he wanted to see interest rates lifted one percentage point by the start of July.
The St Louis Fed boss said he was in favour of a 50 basis point lift next month -- double the usual rise and the first since 2000 -- and two more after that.
"I'd like to see 100 basis points in the bag by July 1," Bullard, who has a vote on policy this year, told Bloomberg News. "I was already more hawkish but I have pulled up dramatically what I think the committee should do."
He added: "I do not think it is shock and awe.
"I think it is a sensible response to a surprise inflationary shock that we got during 2021 that we did not expect."
Bullard also said he was open to a very rare announcement of rate hikes between meetings, which further rattled traders, while calling for the quick reduction of the bank's bond holdings that have helped keep rates subdued.
"What began as 'just another ripper inflation print' quickly turned into panic of an emergency hike from the Fed," said Matt Simpson of StoneX Financial.
"As exciting as that is, we think an inter-meeting hike is an outside chance. But that is no reason for traders to not prepare for it, as it is these lower probability events which can spark the biggest moves."
Markets have for months been hit by speculation about the Fed's plans for monetary policy, having made an about-turn at the end of the year on its view that inflation would be temporary and subside as the global economy reopened.
All three main indexes in New York ended sharply lower with tech firms -- which are susceptible to higher rates -- among the worst hit. The Nasdaq dived more than two percent.
Asia, which has enjoyed a broadly upbeat week, was also largely down.
Hong Kong, Shanghai, Sydney, Seoul, Wellington, Taipei, Manila and Jakarta all fell into the red, though Singapore inched up. Tokyo was closed for a holiday.
The dollar also rallied, breaking through 116 yen.
"We don't think the market has priced the full extent of what we feel the Fed has to do going forward," Elena Hernandez, at GenTrust LLC, told Bloomberg Television.
"Bullard's comments today were a big shock and surprise, especially talking about a potential inter-meeting movement. We expect rates to continue to sell off."
- Key figures around 0230 GMT -
Hong Kong - Hang Seng Index: DOWN 0.4 percent at 24,816.41
Shanghai - Composite: DOWN 0.1 percent at 3,483.10
Tokyo - Nikkei 225: Closed for a holiday
Dollar/yen: UP at 116.02 yen from 115.99 yen
Pound/dollar: DOWN at $1.3552 from $1.3562
Euro/dollar: DOWN at $1.1404 from $1.1434 late Thursday
Euro/pound: DOWN at 84.15 pence from 84.25 pence
West Texas Intermediate: DOWN 0.4 percent at $89.55 per barrel
Brent North Sea crude: DOWN 0.5 percent at $90.95 per barrel
New York - Dow: DOWN 1.5 percent at 35,241.59 (close)
London - FTSE 100: UP 0.4 percent at 7,672.40 (close)
L.Mesquita--PC