Asian stocks mixed as treasury yields stabilise from seven-year peak

Asian stocks traded mixed on Wednesday, as yields on Treasuries retreated from a seven-year peak. The dollar edged lower against major currencies.

Shares in Japan rose after four days of losses, while those in China reversed gains. Hong Kong stocks outperformed their South Korean counterparts, lagging after a holiday.

Earlier, the S&P500 Index was dragged down by materials shares, after a profit warning in the sector, while technology shares rebounded from a three-day rout. Treasuries steadied with the yield on the 10-year benchmark little changed at 3.21 per cent, while the greenback remained under pressure after US President Donald Trump said the Federal Reserve is moving too fast with interest-rate hikes.

Asian investors are assessing increasingly attractive valuations against a backdrop of deepening US-China tensions and a surge in volatility for stock and bond markets.