Asian shares track Wall Street fall as bond yields rebound; Nikkei down 2%

Asian shares fell Thursday, tracking a decline on Wall Street as another rise in bond yields rattled investors who worry that higher inflation may prompt central banks to raise ultra-low interest rates.

Benchmarks were lower in most major markets and the dollar rose against the Japanese yen.

Shares have yoyo'd recently with fluctuations in bond yields. When yields rise quickly, as they have in recent weeks, it forces Wall Street to rethink the value of stocks.

Technology stocks are most vulnerable to this reassessment after having soared during the pandemic, making them look pricier than the rest of the market.

US government bond yields rose Wednesday after easing a day earlier. The yield on the benchmark 10-year Treasury note was steady at 1.47 per cent early Thursday.

The dial ticks back to rising bond yield concerns, between that and the broad risk-on mood derived from the global economic recovery, Jingyi Pan of IG said in a report. She noted that stocks more affected by ups an