Market Turbulence: Yen Strengthens Amid JGB Yield Surge

Market volatility grips global markets as stocks fall amid risk aversion. The yen strengthens following BOJ Governor Kazuo Ueda's hints at interest rate hikes. U.S. stock futures decline while cryptocurrencies slump. Investor focus now shifts to U.S. economic data and Federal Reserve policy signals.

Global markets faced turbulence as stocks experienced a decline, with risk aversion taking center stage despite persistent U.S. rate-cut optimism. The Japanese yen saw a significant strengthening, attributed to Bank of Japan Governor Kazuo Ueda's clear indications of a possible interest rate hike.

Following a strong November for equities, attention pivots to this week's economic data as U.S. and European stock futures showed notable declines. Cryptocurrencies also took a hit, with both bitcoin and ether experiencing significant losses, reflecting a cooling risk appetite among investors.

In a contrasting move, Hong Kong's Hang Seng index rose modestly, even as rising Japanese government bond yields added pressure. Ueda's comments have heightened focus on monetary policy efforts to counter exchange rate depreciation, while market participants keenly await U.S. economic releases and Federal Reserve commentary.

(With inputs from agencies.)