Asian stock indices are falling today. The negative impact on investor sentiment was caused by the fall of the US market on Monday after the publication of data on the acceleration of inflation in the country. As a result, it entered a “bearish” phase: the decline in the S&P 500 compared to the January peak exceeded 20%.

Statdata, released on Friday, showed the acceleration of inflation in the U.S. in May to the maximum since December 1981, 8.6% in annualized terms, compared to 8.3% in April. Experts believed that this could prompt the Federal Reserve to more aggressively raise interest rates and consequently increase the threat of recession in the economy, writes Trading Economics. Based on futures quotes for the base interest rate level, the market estimates a 50% probability of its increase by 75 basis points (b.p.) at once at the end of the June meeting. Increase by 75 b.p. The Fed has not undertaken since 1994, notes MarketWatch.

Japanese index Nikkei 225 by 8:38 Moscow time decreased by 1.65%.

Analysts are concerned about the continued fall of the national currency. The exchange rate is now around 135 yen/$1, which is the minimum since 1998.

Among the leaders of quotations decrease on Tuesday are the shares of cosmetic Shiseido (-4%), Internet company Rakuten Group Inc. (-3.9%), air carrier ANA Holdings Inc. (-4%).

In addition, the securities of Asia’s largest clothing retailer Fast Retailing Co. (-0.9%), consumer electronics manufacturer Sony (-2.9%), automobile Nissan Motor (-1.5%) and Toyota Motor (-1.7%) are getting cheaper.

Chinese index Shanghai Composite by 8:43 Moscow time decreased by 0.75%, Hong Kong Hang Seng – by 0.43%.

The leaders of the decline in trading in Hong Kong are the shares of Internet retailer Alibaba Group Holding Ltd. (-3.4%), solar panel manufacturer Xinyi Solar Holdings Ltd. (-3.2%), automobile BYD (-2.9%) and Geely (-2.8%).

South Korea’s Kospi index was down 0.49% by 8:58 Moscow time by 8:58 Moscow time.

The market value of automobile company Hyundai Motor decreased by 2.6%, one of the world’s largest manufacturers of chips and consumer electronics Samsung Electronics Co. – was unchanged.

Australia’s S&P/ASX 200 had collapsed 3.82% by 8:58 a.m., following a decline in technology stocks. This is the index’s biggest drop since March 2020.

The country’s stock exchanges were not operating on Monday due to a public holiday.

The capitalization of battery manufacturer Novonix Ltd. fell by 9.3%, payment system Zip Co.- by 16.3%.

Stock prices of the world’s largest mining companies BHP and Rio Tinto fell by 5.4% and 5.2%, respectively.

The value of the country’s largest banks also fell: Commonwealth Bank – by 3.7%, National Australia Bank – by 4.2%, Westpac – by 4% and Australia & New Zealand Banking Group – by 4.8%.