Asian stocks decrease in the midst of anxiety over exacerbation of the US deficit

Asian stocks have decreased and the 30 -year -old US Treasury bonds fell on Thursday, in light of the growing fear of a proposed tax law that would aggravate the financial deficit in the United States. The Regional Index of Asia has fallen for the first time in three days, after a poor opening of the markets in Australia, Japan and South Korea. The dollar index also continued its losses for the fourth consecutive session. On the other hand, futures for US indicators increased in Asian trade, after the “S&B500” index closed a 1.6% decline on Wednesday, in its largest daily decline in a month. The return on US bonds remained 30 years above the critical level of 5%. Markets show a growing rejection of President Donald Trump’s plan to reduce taxes and aggravate shortcomings, as US Treasury bonds saw a widespread decline on Wednesday, which coincided with poor demand for $ 16 billion in 20 -year -old ties, which provoked the concerns about the US government’s ability to finance its borrowing. Audrey Go, head of the asset distribution section at Standard Chartrad, told Bloomberg TV to Wealth Management in an interview: “Long -term returns are likely to increase in the short term as a result of the proposed tax law concerns, and the burden it can contribute to the financial deficit.” She added: “There is also a lack of certainty about the possible demand for long -term effects.” Investors fear that the bill will add trillion dollars to the US financial deficit in the coming years, at a time when investors around the world are falling to US assets. Also in Japan, the sovereign debt market warning signals to the central bank showed about the need to be careful when reducing the purchases of bonds. This week, the matter was clear in poor demand for government bonds, and the height of income was sharp. “It has become a global issue as investors have a completely new environment,” says Nick Todel, the chief analyst at At Global Markets in Australia. He pointed out that “the high returns of Japanese effects can make Japan’s financial situation an extra concern for world investors.” Korean currency movements in Asia are awaiting investors for the “Won” movement movement after it scored its highest level in six months. Local media reports reported that the United States considered the center twice as a major cause of South Korean trade surplus. However, the currency fell 0.4% at the beginning of Thursday trading. Strategic expert Mary Nicolas wrote in an analytical note: “Asian currencies are expected to rise as a result of current evaluation levels, and the Trump administration’s dedication to correcting the most important imbalances. But its rate of these profits and its size will largely depend on a precise balance between political geography, economic policy and diplomatic challenges.” Meanwhile, former US Treasury Secretary Stephen Mnuchin expressed concern over the exacerbation of the budget deficit more than the trade balance, and called on Washington to give priority to address the financial situation. High returns of bonds that mystery in economic expectations push investors to hedge in the American Bond Options Market, by betting on highest effects on the longest effects by the end of the year. These bets are in line with the directions of “Wall Street”, as major banks such as “Goldman Sachs” and “GB Morgan” have increased their expectations for the proceeds of the mortgage. “These high returns make it difficult to justify the high levels of shares assessment now, and this could lead to new stock markets,” said Mali Mali of Miller Tobacco. In the commodity markets, gold rose for the fourth consecutive session, while oil prices continued to fall due to the increase in US equities, amid continued geopolitical problems. On the other hand, “Bitcoin” has recorded a new plate.