Asian Stock Market: Edges lower, Chinese equities lead losses amid the fear of hawkish Fed, China woes

• Asian stock markets trade in negative territory because of the fear of higher inflation in the US, China's woes.
• Chinese indexes are leading losses due to ongoing worries over a faltering economy.
• The Bank of Japan (BoJ) offers unlimited JGBs with a maturity of 5–10 years at a fixed rate.

Asian stock markets dipped on Monday amid the fear of a more hawkish stance by the Federal Reserve (Fed) and China woes. During the early European session on Monday, EuroStoxx Futures fell 0.41% to 4,326 by press time. Additionally, Chinese indexes are leading losses due to ongoing worries over a faltering economy.

At press time, China’s Shanghai falls 0.36% to 3,178, the Shenzhen Component Index slumps 0.56% to 10,750, Hong Kong’s Hang Sang dips 2.04% to 18,688, India’s NIFTY 50 is down 0.38%, and South Korea’s Kospi is down 0.78%.

In Japan, the Bank of Japan (BoJ) offers unlimited Japanese Government Bonds (JGBs) with a residual maturity of 5 to 10 years at a fixed rate in the early Asian session on Monday. Following the data, USD/JPY reaches a new intraday low near 144.65 and posts its first loss in six days after reaching a new yearly high earlier in the day.

Moving on, market participants will closely watch the US Retail Sales, FOMC Minutes and the comments from Fed officials for fresh impetus. The events could provide hints for further monetary policy and give a direction for riskier assets like equities, risk-sensitive currencies, etc.