Asia Markets Slide on Tech Selloff Before US Inflation Data
Asia markets slipped as tech stocks underperformed following Wall Street’s Nasdaq pullback. Investors grew cautious ahead of key US inflation data and next week’s Federal Reserve policy meeting. Japan’s trade deficit widened more than expected, and domestic inflation raised concerns about consumption despite export gains. In China, slowing growth and trade uncertainties weighed on sentiment even as industrial output and employment improved, while India’s infrastructure output growth softened amid ongoing US trade talks. This risk-off tone in Asia markets is likely to increase crypto market volatility, as investors shift to safe havens like gold and await US CPI readings for further directional cues.
Bearish
The combination of a tech-driven equity selloff and heightened uncertainty ahead of US inflation data and the Fed meeting is likely to drive a risk-off environment that typically weighs on cryptocurrencies. In the short term, falling Asian markets and reduced risk appetite can lead to downward pressure on crypto prices as investors seek safe-haven assets. Over the longer term, market directions will depend on CPI outcomes and Fed guidance; however, persistent caution may sustain lower trading ranges until clearer monetary policy signals emerge.