Asian stocks down on Greece fears

<p>Investors also speculated on the timing of a US rates hike.</p>

Asian stocks fell today (June 9th) after a weak overnight session on Wall Street, as investors speculated on the timing of a US interest rates hike, amid ongoing Greece worries.

The Standard & Poor’s 500 Index dropped to a two-month low yesterday after strong jobs data led investors to bet the Federal Reserve will raise interest rates this year. 

Meanwhile, German Chancellor Angela Merkel demanded urgent action from the Greek government after Greek Prime Minister Alexis Tsipras rejected a proposal made by the European Central Bank, the International Monetary Fund and the European Commission. An agreement is needed by June 30.

“We still have concerns over US monetary policy and Greece hanging over our heads," Toshihiko Matsuno, chief strategist at SMBC Friend Securities Co. in Tokyo, told Bloomberg. "If the US moves towards raising rates, bonds will be sold and, if that turns into a big move, there'll also be consequences for stocks."

Japan's Nikkei 225 dropped 1.4 per cent to 20,168.88, Hong Kong's Hang Seng fell 1.1 per cent to 27,023.59. The Shanghai Composite shed 0.9 per cent to 5,086.65 while South Korea's Kospi ended 0.1 per cent lower to 2,062.24. Australia's S&P/ASX 200 lost 0.4 per cent to 5,477.90.

Join our live webinars for the latest analysis and trading ideas. Register now

GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.