Search

Saved articles

You have not yet added any article to your bookmarks!

Newsletter image

Subscribe to the Newsletter

Join 10k+ people to get notified about new posts, news and tips.

Do not worry we don't spam!

Asian Markets See Heavy Foreign Sell-Off

Asian Markets See Heavy Foreign Sell-Off

Post by : Shakul

Foreign investors sharply increased selling in Asian equity markets during May as concerns over rising global inflation, higher borrowing costs, and geopolitical tensions continued to pressure investor sentiment across the region.

According to Reuters data, foreign investors have sold nearly $24.75 billion worth of Asian equities so far this month. The last week alone recorded a massive $17.27 billion in outflows, making it one of the biggest weekly foreign sell-offs seen in regional markets in recent years.

The selling pressure intensified after the 30-year US Treasury yield climbed to its highest level since 2007. Rising bond yields generally make equities less attractive because investors can earn safer returns from government bonds, especially during uncertain economic conditions.

Analysts believe the ongoing conflict-driven inflation concerns and tighter financial conditions are forcing investors to reduce exposure in growth-focused Asian markets. Technology-heavy exchanges in South Korea and Taiwan were among the worst affected during the recent market correction.

South Korean stocks witnessed record foreign outflows of around $13.14 billion in just one week. Taiwan also experienced heavy selling worth approximately $2.88 billion, while Indian equities recorded foreign withdrawals of nearly $1.35 billion during the same period.

Market experts stated that Asian equity markets remain highly sensitive to movements in US bond yields. Investors are increasingly cautious that prolonged high interest rates could hurt company earnings, reduce corporate margins, and slow overall economic growth in export-driven economies across Asia.

Despite the broader market weakness, some countries continued to attract foreign investments. Indonesian stocks received inflows of nearly $511 million, while Thailand recorded around $215 million in foreign buying, showing selective investor confidence in certain Southeast Asian markets.

Financial analysts warned that volatility may continue in the coming weeks as investors closely monitor inflation trends, central bank decisions, and developments in global geopolitical tensions that could further impact global capital flows and market stability.

May 20, 2026 3:24 p.m. 277

#Economy #Stock market Beginner #Business & economy #South Korea #Asia #Markets #Taiwan

Bahrain Advocates for Global Peace and UN Overhaul at Security Council
May 27, 2026 6:07 p.m.
During a UN debate, Bahrain called for adherence to the UN Charter and advocated for a peaceful two-state solution for Palestine.
Read More
Nine Arrested in Ontario's Major Auto Theft Investigation, Including Seven Teens
May 27, 2026 6:04 p.m.
Nine individuals, predominantly teens, have been arrested in Ontario amid a significant auto theft investigation.
Read More
Pressure Mounts on US-Iran Ceasefire as Trump Hosts Cabinet Discussion
May 27, 2026 5:59 p.m.
US-Iran ceasefire talks intensify under new pressures as President Trump convenes his Cabinet amidst escalating tensions.
Read More
Hantavirus Outbreak Linked to Cruise Ship Grows to 13 Cases After New Detection in Spain
May 27, 2026 5:55 p.m.
The WHO reports a rise to 13 hantavirus cases linked to a cruise ship outbreak following a new infection detected in Spain.
Read More
UFC Cage Takes Center Stage on White House Lawn During Trump Celebrations
May 27, 2026 5:49 p.m.
A striking UFC cage was placed on the White House lawn, igniting conversation during celebrations linked to Donald Trump.
Read More
South Korea Connects Recent Ship Attack in Hormuz to Potential Missile Action
May 27, 2026 5:48 p.m.
South Korea links a recent ship attack in the Hormuz Strait to a possible missile strike, raising alarms over maritime security.
Read More
NASA's Vision for a Permanent Moon Outpost Revealed
May 27, 2026 5:43 p.m.
NASA aims to construct a permanent Moon base near the lunar south pole, supporting human missions and paving the way for Mars exploration.
Read More
US World Cup Squad Unveiled with Pulisic and Adams at the Helm
May 27, 2026 5:34 p.m.
The US Men's National Team reveals its squad for the 2026 FIFA World Cup, led by stars Christian Pulisic and Tyler Adams under Pochettino.
Read More
One Fatality in US Military Strike on Suspected Drug Vessel in Pacific
May 27, 2026 5:29 p.m.
A US strike on a suspected drug boat in the Pacific has resulted in one death and two individuals left adrift in the ocean.
Read More